International Bond Fund_IBF_F76-051
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act File Number: 811-02958
T. Rowe Price International Funds, Inc.
(Exact name of registrant as specified
in charter)
100 East Pratt Street, Baltimore, MD 21202
(Address of principal executive
offices)
David Oestreicher
100 East Pratt Street, Baltimore, MD 21202
(Name and address of agent for service)
Registrants telephone number, including area code: (410) 345-2000
Date of fiscal year end: December 31
Date of reporting
period: June 30, 2023
Item 1. Reports to Shareholders
(a) Report pursuant to Rule 30e-1
Market
Commentary
Portfolio
Summary
Performance
and
Expenses
Financial
Highlights
Portfolio
of
Investments
Financial
Statements
and
Notes
Additional
Fund
Information
For
more
insights
from
T.
Rowe
Price
investment
professionals,
go
to
troweprice.com
.
T.
ROWE
PRICE
RPIBX
International
Bond
Fund
–
.
PAIBX
International
Bond
Fund–
.
Advisor
Class
RPISX
International
Bond
Fund–
.
I
Class
TRLZX
International
Bond
Fund–
.
Z Class
T.
ROWE
PRICE
International
Bond
Fund
Log
in
to
your
account
at
troweprice.com
for
more
information.
*
Certain
mutual
fund
accounts
that
are
assessed
an
annual
account
service
fee
can
also
save
money
by
switching
to
e-delivery.
T.
ROWE
PRICE
International
Bond
Fund
Market
Commentary
Dear
Shareholder
Most
major
global
stock
and
bond
indexes
produced
positive
returns
during
the
first
half
of
your
fund’s
fiscal
year,
the
six-month
period
ended
June
30,
2023.
Despite
turmoil
in
the
banking
sector
and
a
protracted
debt
ceiling
standoff,
markets
were
resilient
as
growth
remained
positive
in
the
major
economies
and
corporate
earnings
results
came
in
stronger
than
expected.
For
the
six-month
period,
the
technology-oriented
Nasdaq
Composite
Index
gained
more
than
30%,
the
strongest
result
of
the
major
benchmarks,
as
tech
companies
benefited
from
investor
enthusiasm
for
artificial
intelligence
applications.
Growth
stocks
outperformed
value
shares,
and
developed
market
stocks
generally
outpaced
their
emerging
market
counterparts.
Currency
movements
were
mixed
over
the
period,
although
a
weaker
dollar
versus
major
European
currencies
was
beneficial
for
U.S.
investors
in
European
securities.
Within
the
S&P
500
Index,
the
information
technology,
communication
services,
and
consumer
discretionary
sectors
were
all
lifted
by
the
tech
rally
and
recorded
significant
gains.
Conversely,
the
defensive
utilities
sector
had
the
weakest
returns
in
the
growth-focused
environment,
and
the
energy
sector
also
lost
ground
amid
declining
oil
prices.
The
financials
sector
partly
recovered
from
the
failure
of
three
large
regional
banks
during
the
period
but
still
finished
with
modest
losses.
Cheaper
oil
contributed
to
slowing
inflation,
although
core
inflation
readings—
which
exclude
volatile
food
and
energy
prices—remained
stubbornly
high.
In
response,
the
Federal
Reserve
raised
its
short-term
lending
benchmark
rate
to
a
target
range
of
5.00%
to
5.25%
by
early
May,
the
highest
level
since
2007.
The
Fed
held
rates
steady
at
its
June
meeting,
but
policymakers
indicated
that
two
more
rate
hikes
could
come
by
the
end
of
the
year.
In
the
fixed
income
market,
returns
were
generally
positive
across
most
sectors
as
investors
benefited
from
the
higher
interest
rates
that
have
become
available
over
the
past
year.
Investment-grade
corporate
bonds
were
supported
by
generally
solid
balance
sheets
and
were
among
the
strongest
performers.
Global
economies
and
markets
showed
surprising
resilience
in
recent
months,
but,
moving
into
the
second
half
of
2023,
we
believe
investors
could
face
potential
challenges.
The
impact
of
the
Fed’s
rate
hikes
has
yet
to
be
fully
felt
in
the
economy,
and
while
the
regional
banking
turmoil
appears
to
have
been
contained
by
the
swift
actions
of
regulators,
it
could
weigh
on
credit
conditions.
Moreover,
market
consensus
still
seems
to
point
to
a
coming
recession,
although
hopes
have
emerged
that
such
a
downturn
could
be
more
modest.
T.
ROWE
PRICE
International
Bond
Fund
We
believe
this
environment
makes
skilled
active
management
a
critical
tool
for
identifying
risks
and
opportunities,
and
our
investment
teams
will
continue
to
use
fundamental
research
to
identify
securities
that
can
add
value
to
your
portfolio
over
the
long
term.
You
may
notice
that
this
report
no
longer
contains
the
commentary
on
your
fund’s
performance
and
positioning
that
we
previously
included
in
the
semiannual
shareholder
letters.
The
Securities
and
Exchange
Commission
(SEC)
adopted
new
rules
in
January
that
will
require
fund
reports
to
transition
to
a
new
format
known
as
a
Tailored
Shareholder
Report.
This
change
will
require
a
much
more
concise
summary
of
performance
rather
than
the
level
of
detail
we
have
provided
historically
while
also
aiming
to
be
more
visually
engaging.
As
we
prepare
to
make
changes
to
the
annual
reports
to
meet
the
new
report
regulatory
requirements
by
mid-2024,
we
felt
the
time
was
right
to
discontinue
the
optional
six-month
semiannual
fund
letter
to
focus
on
the
changes
to
come.
While
semiannual
fund
letters
will
no
longer
be
produced,
you
may
continue
to
access
current
fund
information
as
well
as
insights
and
perspectives
from
our
investment
team
on
our
personal
investing
website.
Thank
you
for
your
continued
confidence
in
T.
Rowe
Price.
Sincerely,
Robert
Sharps
CEO
and
President
T.
ROWE
PRICE
International
Bond
Fund
Portfolio
Summary
Note:
Copyright
©
2023
Fitch
Ratings,
Inc.,
Fitch
Ratings
Ltd.
and
its
subsidiaries.
Note:
©
2023,
Moody’s
Corporation,
Moody’s
Investors
Service,
Inc.,
Moody’s
Analytics,
Inc.
and/or
their
licensors
and
affiliates
(collectively,
“Moody’s”).
All
rights
reserved.
Moody’s
ratings
and
other
information
(“Moody’s
Information”)
are
proprietary
to
Moody’s
and/or
its
licensors
and
are
protected
by
copyright
and
other
intellectual
property
laws.
Moody’s
Information
is
licensed
to
Client
by
Moody’s.
MOODY’S
INFORMATION
MAY
NOT
BE
COPIED
OR
OTHERWISE
REPRODUCED,
REPACKAGED,
FURTHER
TRANSMITTED,
TRANSFERRED,
DISSEMINATED,
REDISTRIBUTED
OR
RESOLD,
OR
STORED
FOR
SUBSEQUENT
USE
FOR
ANY
SUCH
PURPOSE,
IN
WHOLE
OR
IN
PART,
IN
ANY
FORM
OR
MANNER
OR
BY
ANY
MEANS
WHATSOEVER,
BY
ANY
PERSON
WITHOUT
MOODY’S
PRIOR
WRITTEN
CONSENT.
Moody's
®
is
a
registered
trademark.
CREDIT
QUALITY
DIVERSIFICATION
International
Bond
Fund
Sources:
Credit
ratings
for
the
securities
held
in
the
fund
are
provided
by
Moody’s,
Standard
&
Poor’s,
and
Fitch
and
are
converted
to
the
Standard
&
Poor’s
nomenclature.
A
rating
of
AAA
represents
the
highest-
rated
securities,
and
a
rating
of
D
represents
the
lowest-
rated
securities.
If
the
rating
agencies
differ,
the
highest
rating
is
applied
to
the
security.
If
a
rating
is
not
available,
the
security
is
classified
as
Not
Rated.
T.
Rowe
Price
uses
the
rating
of
the
underlying
investment
vehicle
to
determine
the
creditworthiness
of
credit
default
swaps.
The
fund
is
not
rated
by
any
agency.
Securities
that
have
not
been
rated
by
any
rating
agency
totaled
0.37%
of
the
portfolio
at
the
end
of
the
reporting
period.
T.
ROWE
PRICE
International
Bond
Fund
Note:
Copyright
©
2023,
S&P
Global
Market
Intelligence
(and
its
affiliates,
as
applicable).
Reproduction
of
any
information,
data
or
material,
including
ratings
(“Content”)
in
any
form
is
prohibited
except
with
the
prior
written
permission
of
the
relevant
party. Such
party,
its
affiliates
and
suppliers
(“Content
Providers”)
do
not
guarantee
the
accuracy,
adequacy,
completeness,
timeliness
or
availability
of
any
Content
and
are
not
responsible
for
any
errors
or
omissions
(negligent
or
otherwise),
regardless
of
the
cause,
or
for
the
results
obtained
from
the
use
of
such
Content.
In
no
event
shall
Content
Providers
be
liable
for
any
damages,
costs,
expenses,
legal
fees,
or
losses
(including
lost
income
or
lost
profit
and
opportunity
costs)
in
connection
with
any
use
of
the
Content.
A
reference
to
a
particular
investment
or
security,
a
rating
or
any
observation
concerning
an
investment
that
is
part
of
the
Content
is
not
a
recommendation
to
buy,
sell
or
hold
such
investment
or
security,
does
not
address
the
appropriateness
of
an
investment
or
security
and
should
not
be
relied
on
as
investment
advice.
Credit
ratings
are
statements
of
opinions
and
are
not
statements
of
fact.
T.
ROWE
PRICE
International
Bond
Fund
FUND
EXPENSE
EXAMPLE
As
a
mutual
fund
shareholder,
you
may
incur
two
types
of
costs:
(1)
transaction
costs,
such
as
redemption
fees
or
sales
loads,
and
(2)
ongoing
costs,
including
management
fees,
distribution
and
service
(12b-1)
fees,
and
other
fund
expenses.
The
following
example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
most
recent
six-month
period
and
held
for
the
entire
period.
Please
note
that
the
fund
has
four
share
classes:
The
original
share
class
(Investor
Class)
charges
no
distribution
and
service
(12b-1)
fee,
Advisor
Class
shares
are
offered
only
through
unaffiliated
brokers
and
other
financial
intermediaries
and
charge
a
0.25%
12b-1
fee,
I
Class
shares
are
available
to
institutionally
oriented
clients
and
impose
no
12b-1
or
administrative
fee
payment,
and
Z
Class
shares
are
offered
only
to
funds
advised
by
T.
Rowe
Price
and
other
advisory
clients
of
T.
Rowe
Price
or
its
affiliates
that
are
subject
to
a
contractual
fee
for
investment
management
services
and
impose
no
12b-1
fee
or
administrative
fee
payment.
Each
share
class
is
presented
separately
in
the
table.
Actual
Expenses
The
first
line
of
the
following
table
(Actual)
provides
information
about
actual
account
values
and
expenses
based
on
the
fund’s
actual
returns.
You
may
use
the
information
on
this
line,
together
with
your
account
balance,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
on
the
first
line
under
the
heading
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
on
the
second
line
of
the
table
(Hypothetical)
is
based
on
hypothetical
account
values
and
expenses
derived
from
the
fund’s
actual
expense
ratio
and
an
assumed
5%
per
year
rate
of
return
before
expenses
(not
the
fund’s
actual
return).
You
may
compare
the
ongoing
costs
of
investing
in
the
fund
with
other
funds
by
contrasting
this
5%
hypothetical
example
and
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
the
other
funds.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
Note:
T.
Rowe
Price
charges
an
annual
account
service
fee
of
$20,
generally
for
accounts
with
less
than
$10,000.
The
fee
is
waived
for
any
investor
whose
T.
Rowe
Price
mutual
fund
accounts
total
$50,000
or
more;
accounts
electing
to
receive
electronic
delivery
of
account
statements,
transaction
confirmations,
prospectuses,
and
shareholder
reports;
or
accounts
of
an
investor
who
is
a
T.
Rowe
Price
Personal
Services
or
Enhanced
Personal
Services
client
(enrollment
in
these
programs
generally
requires
T.
Rowe
Price
assets
of
at
least
$250,000).
This
fee
is
not
included
in
the
accompanying
table.
If
you
are
subject
to
the
fee,
keep
it
in
mind
when
you
are
estimating
the
ongoing
expenses
of
investing
in
the
fund
and
when
comparing
the
expenses
of
this
fund
with
other
funds.
You
should
also
be
aware
that
the
expenses
shown
in
the
table
highlight
only
your
ongoing
costs
and
do
not
reflect
any
transaction
costs,
such
as
redemption
fees
or
sales
loads.
Therefore,
the
second
line
of
the
table
is
useful
in
comparing
ongoing
costs
only
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
To
the
extent
a
fund
charges
transaction
costs,
however,
the
total
cost
of
owning
that
fund
is
higher.
T.
ROWE
PRICE
International
Bond
Fund
INTERNATIONAL
BOND
FUND
Beginning
Account
Value
1/1/23
Ending
Account
Value
6/30/23
Expenses
Paid
During
Period*
1/1/23
to
6/30/23
Investor
Class
Actual
$1,000.00
$1,010.60
$3.34
Hypothetical
(assumes
5%
return
before
expenses)
1,000.00
1,021.47
3.36
Advisor
Class
Actual
1,000.00
1,002.00
10.32
Hypothetical
(assumes
5%
return
before
expenses)
1,000.00
1,014.48
10.39
I
Class
Actual
1,000.00
1,009.80
2.69
Hypothetical
(assumes
5%
return
before
expenses)
1,000.00
1,022.12
2.71
Z
Class
Actual
1,000.00
1,012.50
0.00
Hypothetical
(assumes
5%
return
before
expenses)
1,000.00
1,024.79
0.00
*
Expenses
are
equal
to
the
fund’s
annualized
expense
ratio
for
the
6-month
period,
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
the
number
of
days
in
the
most
recent
fiscal
half
year
(181),
and
divided
by
the
days
in
the
year
(365)
to
reflect
the
half-year
period.
The
annualized
expense
ratio
of
the
1
Investor
Class
was
0.67%,
the
2
Advisor Class
was
2.08%,
the
3
I Class
was
0.54%,
and
the
4
Z Class
was
0.00%.
FUND
EXPENSE
EXAMPLE
(CONTINUED)
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
Investor
Class
6
Months
.
Ended
6/30/23
..
Year
..
..
Ended
.
12/31/22
12/31/21
12/31/20
12/31/19
12/31/18
NET
ASSET
VALUE
Beginning
of
period
$
7.07
$
9.03
$
9.91
$
9.01
$
8.62
$
9.06
Investment
activities
Net
investment
income
(1)(2)
0.09
0.14
0.12
0.13
0.18
0.18
Net
realized
and
unrealized
gain/loss
(0.01)
(1.96)
(0.83)
0.90
0.39
(0.44)
Total
from
investment
activities
0.08
(1.82)
(0.71)
1.03
0.57
(0.26)
Distributions
Net
investment
income
(0.09)
(0.08)
(0.12)
(0.13)
(0.17)
(0.18)
Net
realized
gain
—
—
(0.05)
—
(0.01)
—
Tax
return
of
capital
—
(0.06)
—
—
—
—
Total
distributions
(0.09)
(0.14)
(0.17)
(0.13)
(0.18)
(0.18)
NET
ASSET
VALUE
End
of
period
$
7.06
$
7.07
$
9.03
$
9.91
$
9.01
$
8.62
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Investor
Class
6
Months
.
Ended
6/30/23
..
Year
..
..
Ended
.
12/31/22
12/31/21
12/31/20
12/31/19
12/31/18
Ratios/Supplemental
Data
Total
return
(2)(3)
1.06%
(20.30)%
(7.19)%
11.50%
6.66%
(2.94)%
Ratios
to
average
net
assets:
(2)
Gross
expenses
before
waivers/
payments
by
Price
Associates
0.91%
(4)
0.86%
0.71%
0.69%
0.70%
0.67%
Net
expenses
after
waivers/payments
by
Price
Associates
0.67%
(4)
0.67%
0.69%
0.69%
0.70%
0.67%
Net
investment
income
2.47%
(4)
1.77%
1.31%
1.37%
2.07%
2.06%
Portfolio
turnover
rate
27.0%
69.3%
37.9%
61.2%
26.3%
39.1%
Net
assets,
end
of
period
(in
millions)
$241
$253
$478
$843
$663
$1,162
0%
0%
0%
0%
0%
0%
(1)
Per
share
amounts
calculated
using
average
shares
outstanding
method.
(2)
See
Note
7
for
details
of
expense-related
arrangements
with
Price
Associates.
(3)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(4)
Annualized
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
Advisor
Class
6
Months
.
Ended
6/30/23
..
Year
..
..
Ended
.
12/31/22
12/31/21
12/31/20
12/31/19
12/31/18
NET
ASSET
VALUE
Beginning
of
period
$
7.07
$
9.06
$
9.93
$
9.03
$
8.63
$
9.08
Investment
activities
Net
investment
income
(1)(2)
0.04
0.05
0.09
0.09
0.16
0.16
Net
realized
and
unrealized
gain/loss
(0.02)
(1.97)
(0.82)
0.91
0.39
(0.46)
Total
from
investment
activities
0.02
(1.92)
(0.73)
1.00
0.55
(0.30)
Distributions
Net
investment
income
(0.15)
(0.05)
(0.09)
(0.10)
(0.14)
(0.15)
Net
realized
gain
—
—
(0.05)
—
(0.01)
—
Tax
return
of
capital
—
(0.02)
—
—
—
—
Total
distributions
(0.15)
(0.07)
(0.14)
(0.10)
(0.15)
(0.15)
NET
ASSET
VALUE
End
of
period
$
6.94
$
7.07
$
9.06
$
9.93
$
9.03
$
8.63
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Advisor
Class
6
Months
.
Ended
6/30/23
..
Year
..
..
Ended
.
12/31/22
12/31/21
12/31/20
12/31/19
12/31/18
Ratios/Supplemental
Data
Total
return
(2)(3)
0.20%
(21.25)%
(7.33)%
11.14%
6.47%
(3.36)%
Ratios
to
average
net
assets:
(2)
Gross
expenses
before
waivers/
payments
by
Price
Associates
2.11%
(4)
1.75%
0.98%
1.01%
1.00%
1.01%
Net
expenses
after
waivers/payments
by
Price
Associates
2.08%
(4)
1.75%
0.98%
0.99%
1.00%
1.00%
Net
investment
income
1.05%
(4)
0.71%
0.96%
1.02%
1.75%
1.75%
Portfolio
turnover
rate
27.0%
69.3%
37.9%
61.2%
26.3%
39.1%
Net
assets,
end
of
period
(in
thousands)
$3,033
$3,263
$4,780
$5,396
$5,284
$6,737
0%
0%
0%
0%
0%
0%
(1)
Per
share
amounts
calculated
using
average
shares
outstanding
method.
(2)
See
Note
7
for
details
of
expense-related
arrangements
with
Price
Associates.
(3)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(4)
Annualized
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
I
Class
6
Months
.
Ended
6/30/23
..
Year
..
..
Ended
.
12/31/22
12/31/21
12/31/20
12/31/19
12/31/18
NET
ASSET
VALUE
Beginning
of
period
$
7.09
$
9.05
$
9.93
$
9.03
$
8.64
$
9.07
Investment
activities
Net
investment
income
(1)(2)
0.09
0.15
0.13
0.14
0.20
0.20
Net
realized
and
unrealized
gain/loss
(0.02)
(1.96)
(0.82)
0.90
0.38
(0.46)
Total
from
investment
activities
0.07
(1.81)
(0.69)
1.04
0.58
(0.26)
Distributions
Net
investment
income
(0.09)
(0.08)
(0.14)
(0.14)
(0.18)
(0.19)
Net
realized
gain
—
—
(0.05)
—
(0.01)
—
Tax
return
of
capital
—
(0.07)
—
—
—
—
Total
distributions
(0.09)
(0.15)
(0.19)
(0.14)
(0.19)
(0.19)
Redemption
fees
added
to
paid-in
capital
(1)(3)
—
—
—
—
—
(4)
0.02
NET
ASSET
VALUE
End
of
period
$
7.07
$
7.09
$
9.05
$
9.93
$
9.03
$
8.64
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
I
Class
6
Months
.
Ended
6/30/23
..
Year
..
..
Ended
.
12/31/22
12/31/21
12/31/20
12/31/19
12/31/18
Ratios/Supplemental
Data
Total
return
(2)(5)
0.98%
(20.14)%
(7.02)%
11.66%
6.83%
(2.71)%
Ratios
to
average
net
assets:
(2)
Gross
expenses
before
waivers/
payments
by
Price
Associates
0.58%
(6)
0.57%
0.53%
0.54%
0.56%
0.55%
Net
expenses
after
waivers/payments
by
Price
Associates
0.54%
(6)
0.54%
0.53%
0.54%
0.54%
0.54%
Net
investment
income
2.62%
(6)
1.93%
1.42%
1.51%
2.20%
2.21%
Portfolio
turnover
rate
27.0%
69.3%
37.9%
61.2%
26.3%
39.1%
Net
assets,
end
of
period
(in
thousands)
$436,178
$401,030
$409,624
$386,901
$440,200
$556,221
0%
0%
0%
0%
0%
0%
(1)
Per
share
amounts
calculated
using
average
shares
outstanding
method.
(2)
See
Note
7
for
details
of
expense-related
arrangements
with
Price
Associates.
(3)
The
fund
charged
redemption
fees
through
March
31,
2019.
(4)
Amounts
round
to
less
than
$0.01
per
share.
(5)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(6)
Annualized
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Z
Class
(1)
6
Months
.
Ended
6/30/23
..
Year
..
..
Ended
.
3/16/20
(1)
Through
12/31/20
12/31/22
12/31/21
NET
ASSET
VALUE
Beginning
of
period
$
7.08
$
9.03
$
9.91
$
8.65
Investment
activities
Net
investment
income
(2)(3)
0.12
0.19
0.19
0.14
Net
realized
and
unrealized
gain/loss
(0.03)
(1.95)
(0.83)
1.26
Total
from
investment
activities
0.09
(1.76)
(0.64)
1.40
Distributions
Net
investment
income
(0.11)
(0.10)
(0.19)
(0.14)
Net
realized
gain
—
—
(0.05)
—
Tax
return
of
capital
—
(0.09)
—
—
Total
distributions
(0.11)
(0.19)
(0.24)
(0.14)
NET
ASSET
VALUE
End
of
period
$
7.06
$
7.08
$
9.03
$
9.91
Ratios/Supplemental
Data
Total
return
(3)(4)
1.25%
(19.65)%
(6.54)%
16.34%
Ratios
to
average
net
assets:
(3)
Gross
expenses
before
waivers/payments
by
Price
Associates
0.57%
(5)
0.54%
0.52%
0.73%
(5)
Net
expenses
after
waivers/payments
by
Price
Associates
0.00%
(5)
0.00%
0.00%
0.00%
(5)
Net
investment
income
3.24%
(5)
2.45%
2.02%
1.94%
(5)
Portfolio
turnover
rate
27.0%
69.3%
37.9%
61.2%
Net
assets,
end
of
period
(in
thousands)
$318,059
$235,142
$374,142
$115
0%
0%
0%
0%
(1)
Inception
date
(2)
Per
share
amounts
calculated
using
average
shares
outstanding
method.
(3)
See
Note
7
for
details
of
expense-related
arrangements
with
Price
Associates.
(4)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(5)
Annualized
T.
ROWE
PRICE
International
Bond
Fund
June
30,
2023
(Unaudited)
Portfolio
of
Investments
‡
Par/Shares
$
Value
(
Cost
and
value
in
$000s)
‡
ALBANIA
0.7%
Government
Bonds
0.7%
Republic
of
Albania,
3.50%,
10/9/25
(EUR)
(1)
860,000
901
Republic
of
Albania,
3.50%,
6/16/27
(EUR)
(1)
720,000
727
Republic
of
Albania,
3.50%,
11/23/31
(EUR)
(1)
2,730,000
2,488
Republic
of
Albania,
5.90%,
6/9/28
(EUR)
(1)
2,640,000
2,824
Total
Albania
(Cost
$7,636
)
6,940
AUSTRALIA
3.4%
Corporate
Bonds
0.8%
APA
Infrastructure,
3.125%,
7/18/31
(GBP)
915,000
911
APA
Infrastructure,
3.50%,
3/22/30
(GBP)
940,000
991
Brambles
Finance,
4.25%,
3/22/31
(EUR)
1,830,000
2,001
NBN,
4.125%,
3/15/29
(EUR)
1,910,000
2,091
Telstra,
1.00%,
4/23/30
(EUR)
545,000
500
Transurban
Finance,
3.00%,
4/8/30
(EUR)
1,900,000
1,944
8,438
Government
Bonds
2.6%
Commonwealth
of
Australia,
Series
140,
4.50%,
4/21/33
24,659,000
17,069
Commonwealth
of
Australia,
Series
150,
3.00%,
3/21/47
4,710,000
2,515
New
South
Wales
Treasury,
Series
26,
4.00%,
5/20/26
9,397,400
6,202
25,786
Total
Australia
(Cost
$38,060
)
34,224
AUSTRIA
0.4%
Government
Bonds
0.4%
Republic
of
Austria,
0.75%,
3/20/51
(1)
6,877,000
4,334
Total
Austria
(Cost
$4,207
)
4,334
BELGIUM
0.0%
Corporate
Bonds
0.0%
Anheuser-Busch
InBev,
1.65%,
3/28/31
300,000
284
Total
Belgium
(Cost
$281
)
284
BRAZIL
1.6%
Corporate
Bonds
0.3%
Braskem
Netherlands
Finance,
4.50%,
1/31/30
(USD)
(2)
1,125,000
968
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
MercadoLibre,
3.125%,
1/14/31
(USD)
1,380,000
1,101
Suzano
Austria,
5.00%,
1/15/30
(USD)
900,000
852
2,921
Government
Bonds
1.3%
Brazil
Notas
do
Tesouro
Nacional,
Series
NTNB,
Inflation-
Indexed,
6.00%,
5/15/25
6,746,097
1,409
Brazil
Notas
do
Tesouro
Nacional,
Series
NTNF,
10.00%,
1/1/27
17,395,000
3,612
Brazil
Notas
do
Tesouro
Nacional,
Series
NTNF,
10.00%,
1/1/31
41,598,000
8,451
13,472
Total
Brazil
(Cost
$14,542
)
16,393
BULGARIA
0.5%
Government
Bonds
0.5%
Republic
of
Bulgaria,
4.50%,
1/27/33
(EUR)
(1)
1,420,000
1,538
Republic
of
Bulgaria,
4.50%,
1/27/33
(EUR)
3,310,000
3,585
Total
Bulgaria
(Cost
$5,063
)
5,123
CANADA
5.2%
Asset-Backed
Securities
0.1%
Cologix
Canadian
Issuer,
Series
2022-1CAN,
Class
A2,
4.94%,
1/25/52
(1)
1,690,000
1,155
1,155
Corporate
Bonds
0.3%
Transcanada
Trust,
Series
17-B,
VR,
4.65%,
5/18/77
(3)
4,481,000
3,007
3,007
Government
Bonds
4.8%
Government
of
Canada,
1.00%,
3/1/27
53,886,000
37,054
Government
of
Canada
Real
Return
Bond,
Inflation-Indexed,
Series
CPI,
4.00%,
12/1/31
11,176,840
10,051
Province
of
Ontario,
3.50%,
6/2/43
996,000
685
47,790
Total
Canada
(Cost
$56,408
)
51,952
CHILE
0.5%
Corporate
Bonds
0.4%
Celulosa
Arauco
y
Constitucion,
4.20%,
1/29/30
(USD)
(1)
2,335,000
2,087
Interchile,
4.50%,
6/30/56
(USD)
1,700,000
1,413
3,500
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
Government
Bonds
0.1%
Republic
of
Chile,
4.125%,
7/5/34
(EUR)
1,100,000
1,192
1,192
Total
Chile
(Cost
$5,047
)
4,692
CHINA
6.2%
Corporate
Bonds
0.3%
State
Grid
Overseas
Investment
BVI,
1.375%,
5/2/25
(EUR)
(1)
2,000,000
2,069
Tencent
Holdings,
3.24%,
6/3/50
(USD)
1,850,000
1,215
3,284
Government
Bonds
5.9%
People's
Republic
of
China,
Series
INBK,
2.60%,
9/1/32
170,000,000
23,157
People's
Republic
of
China,
Series
INBK,
2.69%,
8/15/32
70,000,000
9,604
People's
Republic
of
China,
Series
INBK,
3.02%,
5/27/31
50,000,000
7,055
People's
Republic
of
China,
Series
INBK,
3.32%,
4/15/52
30,000,000
4,313
People's
Republic
of
China,
Series
INBK,
3.53%,
10/18/51
30,000,000
4,469
People's
Republic
of
China,
Series
1908,
4.00%,
6/24/69
10,000,000
1,660
People's
Republic
of
China,
Series
1915,
3.13%,
11/21/29
60,000,000
8,508
58,766
Total
China
(Cost
$63,253
)
62,050
COLOMBIA
0.7%
Corporate
Bonds
0.1%
Banco
de
Bogota,
6.25%,
5/12/26
(USD)
1,050,000
1,015
1,015
Government
Bonds
0.6%
Republic
of
Colombia,
Series
B,
6.00%,
4/28/28
9,493,400,000
1,952
Republic
of
Colombia,
Series
B,
7.00%,
3/26/31
17,280,000,000
3,496
Republic
of
Colombia,
Series
B,
13.25%,
2/9/33
295,300,000
83
5,531
Total
Colombia
(Cost
$5,534
)
6,546
CYPRUS
0.6%
Government
Bonds
0.6%
Republic
of
Cyprus,
0.95%,
1/20/32
3,426,000
3,004
Republic
of
Cyprus,
1.25%,
1/21/40
50,000
36
Republic
of
Cyprus,
1.50%,
4/16/27
425,000
431
Republic
of
Cyprus,
2.75%,
2/26/34
547,000
533
Republic
of
Cyprus,
2.75%,
5/3/49
642,000
576
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
Republic
of
Cyprus,
3.75%,
7/26/23
1,201,000
1,310
Total
Cyprus
(Cost
$7,504
)
5,890
CZECH
REPUBLIC
1.4%
Government
Bonds
1.4%
Republic
of
Czech,
Series
105,
2.75%,
7/23/29
241,480,000
10,093
Republic
of
Czech,
Series
125,
1.50%,
4/24/40
59,000,000
1,779
Republic
of
Czech,
Series
142,
1.95%,
7/30/37
50,870,000
1,762
Total
Czech
Republic
(Cost
$13,117
)
13,634
DENMARK
0.6%
Corporate
Bonds
0.6%
Danske
Bank,
VR,
0.75%,
6/9/29
(EUR)
(2)(3)
560,000
504
Danske
Bank,
VR,
1.375%,
2/17/27
(EUR)
(3)
500,000
498
Danske
Bank,
VR,
1.375%,
2/12/30
(EUR)
(3)
1,475,000
1,491
Orsted,
4.875%,
1/12/32
(GBP)
910,000
1,071
TDC
Net,
5.618%,
2/6/30
(EUR)
2,345,000
2,503
Total
Denmark
(Cost
$6,288
)
6,067
FRANCE
3.9%
Corporate
Bonds
1.4%
Altice
France,
5.875%,
2/1/27
(1)
375,000
339
Banque
Federative
du
Credit
Mutuel,
1.25%,
5/26/27
500,000
489
Banque
Federative
du
Credit
Mutuel,
1.375%,
7/16/28
500,000
478
Banque
Federative
du
Credit
Mutuel,
5.125%,
1/13/33
900,000
963
BNP
Paribas,
VR,
2.125%,
1/23/27
(3)
1,000,000
1,022
BNP
Paribas,
VR,
3.875%,
1/10/31
(2)(3)
1,000,000
1,074
BPCE,
0.25%,
1/14/31
1,100,000
903
BPCE,
3.50%,
1/25/28
(2)
900,000
955
Credit
Agricole,
1.00%,
9/16/24
1,400,000
1,470
Credit
Agricole,
1.875%,
12/20/26
1,100,000
1,113
Credit
Agricole
Assurances,
VR,
2.625%,
1/29/48
(3)
1,000,000
956
Holding
d'Infrastructures
de
Transport,
1.475%,
1/18/31
1,300,000
1,157
IPD
3,
8.00%,
6/15/28
(1)
305,000
339
Loxam,
6.375%,
5/15/28
645,000
696
RTE
Reseau
de
Transport
d'Electricite
SADIR,
0.75%,
1/12/34
1,100,000
900
Veolia
Environnement,
1.25%,
4/2/27
1,000,000
993
Veolia
Environnement,
1.94%,
1/7/30
500,000
489
14,336
Government
Bonds
2.5%
Republic
of
France,
0.00%,
5/25/32
17,576,000
14,910
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
Republic
of
France,
1.25%,
5/25/36
(1)
11,328,000
9,981
24,891
Total
France
(Cost
$44,484
)
39,227
GERMANY
4.3%
Corporate
Bonds
1.0%
Allianz,
VR,
3.375%
(3)(4)
2,300,000
2,441
E.ON
International
Finance,
6.25%,
6/3/30
(GBP)
815,000
1,041
Fresenius,
5.00%,
11/28/29
1,200,000
1,322
Gruenenthal,
3.625%,
11/15/26
(1)
200,000
205
Gruenenthal,
6.75%,
5/15/30
(1)
100,000
111
Hannover
Rueck,
VR,
1.125%,
10/9/39
(3)
1,900,000
1,630
Hannover
Rueck,
VR,
1.75%,
10/8/40
(2)(3)
900,000
778
TK
Elevator
Midco,
4.375%,
7/15/27
(1)(2)
490,000
477
Volkswagen
International
Finance,
Series
10Y,
1.875%,
3/30/27
200,000
200
Volkswagen
Leasing,
1.50%,
6/19/26
1,630,000
1,637
9,842
Government
Bonds
3.3%
Deutsche
Bundesrepublik,
Inflation-Indexed,
0.10%,
4/15/26
16,001,903
17,056
Deutsche
Bundesrepublik,
Inflation-Indexed,
0.50%,
4/15/30
13,404,800
14,901
KfW,
4.70%,
6/2/37
(CAD)
924,000
713
32,670
Total
Germany
(Cost
$43,798
)
42,512
GREECE
0.3%
Government
Bonds
0.3%
Hellenic
Republic,
0.75%,
6/18/31
(1)
3,809,000
3,339
Total
Greece
(Cost
$4,585
)
3,339
HUNGARY
1.2%
Corporate
Bonds
0.1%
OTP
Bank,
VR,
7.35%,
3/4/26
(EUR)
(3)
910,000
1,006
1,006
Government
Bonds
1.1%
Republic
of
Hungary,
5.00%,
2/22/27
(EUR)
1,557,000
1,712
Republic
of
Hungary,
Series
32/A,
4.75%,
11/24/32
190,000,000
473
Republic
of
Hungary,
Series
33/A,
2.25%,
4/20/33
4,380,620,000
8,816
11,001
Total
Hungary
(Cost
$14,040
)
12,007
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
ICELAND
0.4%
Corporate
Bonds
0.2%
Landsbankinn,
0.375%,
5/23/25
(EUR)
1,675,000
1,634
1,634
Government
Bonds
0.2%
Republic
of
Iceland,
0.00%,
4/15/28
(EUR)
2,249,000
2,064
2,064
Total
Iceland
(Cost
$4,598
)
3,698
INDIA
1.3%
Corporate
Bonds
0.5%
ABJA
Investment,
5.45%,
1/24/28
(USD)
(2)
1,219,000
1,204
Reliance
Industries,
2.875%,
1/12/32
(USD)
(2)
1,800,000
1,502
State
Bank
of
India,
4.875%,
5/5/28
(USD)
(2)
2,600,000
2,550
5,256
Government
Bonds
0.8%
Republic
of
India,
7.26%,
8/22/32
602,040,000
7,419
7,419
Total
India
(Cost
$12,555
)
12,675
INDONESIA
2.6%
Corporate
Bonds
0.1%
Minejesa
Capital,
5.625%,
8/10/37
(USD)
1,200,000
943
943
Government
Bonds
2.5%
Republic
of
Indonesia,
3.75%,
6/14/28
(EUR)
(2)
6,942,000
7,530
Republic
of
Indonesia,
Series
FR87,
6.50%,
2/15/31
131,193,000,000
8,830
Republic
of
Indonesia,
Series
FR91,
6.375%,
4/15/32
52,200,000,000
3,499
Republic
of
Indonesia,
Series
FR95,
6.375%,
8/15/28
69,495,000,000
4,731
24,590
Total
Indonesia
(Cost
$26,028
)
25,533
IRELAND
0.1%
Government
Bonds
0.1%
Republic
of
Ireland,
1.50%,
5/15/50
522,000
400
Republic
of
Ireland,
2.00%,
2/18/45
983,000
874
Total
Ireland
(Cost
$2,008
)
1,274
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
ISRAEL
2.0%
Corporate
Bonds
0.3%
Bank
Hapoalim,
VR,
3.255%,
1/21/32
(USD)
(1)(3)
1,280,000
1,097
Israel
Electric,
7.875%,
12/15/26
(USD)
500,000
523
Leviathan
Bond,
6.50%,
6/30/27
(USD)
(1)
1,000,000
960
2,580
Government
Bonds
1.7%
State
of
Israel,
1.50%,
1/18/27
(EUR)
3,044,000
3,056
State
of
Israel,
Series
0142,
5.50%,
1/31/42
18,595,000
5,996
State
of
Israel,
Series
0347,
3.75%,
3/31/47
3,542,000
911
State
of
Israel,
Series
0825,
1.75%,
8/31/25
28,725,389
7,357
17,320
Total
Israel
(Cost
$23,670
)
19,900
ITALY
4.4%
Corporate
Bonds
0.7%
Autostrade
per
l'Italia,
2.00%,
12/4/28
990,000
944
Autostrade
per
l'Italia,
2.00%,
1/15/30
1,067,000
977
Autostrade
per
l'Italia,
2.25%,
1/25/32
550,000
486
CA
Auto
Bank,
0.50%,
9/13/24
(2)
1,000,000
1,040
Infrastrutture
Wireless
Italiane,
1.625%,
10/21/28
700,000
670
Intesa
Sanpaolo,
1.75%,
7/4/29
(2)
1,000,000
933
Lottomatica,
FRN,
3M
EURIBOR
+
4.125%,
7.588%,
6/1/28
(1)
185,000
202
Snam,
0.875%,
10/25/26
1,165,000
1,153
UniCredit,
VR,
4.875%,
2/20/29
(3)
650,000
704
7,109
Government
Bonds
3.7%
Italy
Buoni
Poliennali
Del
Tesoro,
Series
10Y,
4.40%,
5/1/33
(2)
23,307,000
26,302
Italy
Buoni
Poliennali
Del
Tesoro,
Series
50Y,
2.80%,
3/1/67
6,668,000
5,207
Italy
Buoni
Poliennali
Del
Tesoro,
Series
5Y,
3.40%,
4/1/28
5,125,000
5,514
37,023
Total
Italy
(Cost
$46,143
)
44,132
IVORY
COAST
0.3%
Government
Bonds
0.3%
Republic
of
Ivory
Coast,
5.875%,
10/17/31
(EUR)
2,790,000
2,557
Total
Ivory
Coast
(Cost
$2,405
)
2,557
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
JAPAN
11.8%
Government
Bonds
11.8%
Government
of
Japan,
Series
44,
1.70%,
9/20/44
1,297,900,000
10,118
Government
of
Japan,
Series
73,
0.70%,
12/20/51
53,700,000
323
Government
of
Japan,
Series
74,
1.00%,
3/20/52
1,890,250,000
12,300
Government
of
Japan,
Series
75,
1.30%,
6/20/52
1,516,250,000
10,614
Government
of
Japan,
Series
76,
1.40%,
9/20/52
2,092,550,000
15,003
Government
of
Japan,
Series
338,
0.40%,
3/20/25
2,089,800,000
14,603
Government
of
Japan
Treasury
Bills,
Series
1130,
(0.12)%,
7/10/23
2,300,000,000
15,940
Government
of
Japan,
Inflation-Indexed,
Series
18,
0.10%,
3/10/24
900,364,000
6,362
Government
of
Japan,
Inflation-Indexed,
Series
19,
0.10%,
9/10/24
1,564,435,400
11,145
Government
of
Japan,
Inflation-Indexed,
Series
20,
0.10%,
3/10/25
1,701,420,400
12,173
Government
of
Japan,
Inflation-Indexed,
Series
26,
0.005%,
3/10/31
1,244,065,888
9,244
Total
Japan
(Cost
$136,820
)
117,825
KUWAIT
0.1%
Corporate
Bonds
0.1%
MEGlobal,
2.625%,
4/28/28
(USD)
(1)
1,485,000
1,298
Total
Kuwait
(Cost
$1,488
)
1,298
LATVIA
1.1%
Government
Bonds
1.1%
Republic
of
Latvia,
0.375%,
10/7/26
(EUR)
11,633,000
11,436
Total
Latvia
(Cost
$13,221
)
11,436
LITHUANIA
0.0%
Corporate
Bonds
0.0%
PLT
VII
Finance,
4.625%,
1/5/26
(1)
200,000
213
Total
Lithuania
(Cost
$226
)
213
LUXEMBOURG
0.3%
Corporate
Bonds
0.3%
Altice
Financing,
4.25%,
8/15/29
(1)
365,000
305
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
Blackstone
Property
Partners
Europe
Holdings,
1.75%,
3/12/29
1,700,000
1,377
Logicor
Financing,
1.50%,
7/13/26
1,075,000
1,010
Total
Luxembourg
(Cost
$3,438
)
2,692
MALAYSIA
2.4%
Government
Bonds
2.4%
Government
of
Malaysia,
Series
0120,
4.065%,
6/15/50
21,374,000
4,464
Government
of
Malaysia,
Series
0216,
4.736%,
3/15/46
70,374,000
16,237
Government
of
Malaysia,
Series
0318,
4.642%,
11/7/33
15,499,000
3,529
Total
Malaysia
(Cost
$25,526
)
24,230
MEXICO
2.2%
Corporate
Bonds
0.3%
America
Movil,
5.75%,
6/28/30
(GBP)
1,070,000
1,344
BBVA
Bancomer,
VR,
5.875%,
9/13/34
(USD)
(2)(3)
1,900,000
1,693
3,037
Government
Bonds
1.9%
Petroleos
Mexicanos,
4.75%,
2/26/29
(EUR)
2,185,000
1,875
United
Mexican
States,
Series
M,
7.50%,
5/26/33
154,114,000
8,296
United
Mexican
States,
Series
M,
8.50%,
5/31/29
21,234,000
1,229
United
Mexican
States,
Series
M,
8.50%,
11/18/38
125,106,000
7,126
18,526
Total
Mexico
(Cost
$20,140
)
21,563
NETHERLANDS
0.7%
Corporate
Bonds
0.7%
ING
Groep,
VR,
1.25%,
2/16/27
(3)
1,500,000
1,498
LeasePlan,
VR,
7.375%
(3)(4)
1,500,000
1,602
Nationale-Nederlanden
Bank,
0.375%,
2/26/25
1,000,000
1,023
TenneT
Holding,
2.00%,
6/5/34
2,100,000
1,970
Trivium
Packaging
Finance,
3.75%,
8/15/26
(1)
175,000
176
Ziggo,
2.875%,
1/15/30
(2)
510,000
447
Total
Netherlands
(Cost
$7,094
)
6,716
NEW
ZEALAND
0.9%
Corporate
Bonds
0.1%
Chorus,
3.625%,
9/7/29
(EUR)
1,290,000
1,370
1,370
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
Government
Bonds
0.8%
New
Zealand
Government
Bond,
Series
0433,
3.50%,
4/14/33
14,136,000
7,904
7,904
Total
New
Zealand
(Cost
$9,550
)
9,274
NORTH
MACEDONIA
0.1%
Government
Bonds
0.1%
Republic
of
North
Macedonia,
6.25%,
3/13/27
(EUR)
(1)
860,000
960
Total
North
Macedonia
(Cost
$910
)
960
NORWAY
0.2%
Corporate
Bonds
0.2%
Avinor,
0.75%,
10/1/30
(EUR)
1,750,000
1,546
Total
Norway
(Cost
$1,544
)
1,546
PERU
0.1%
Corporate
Bonds
0.1%
Banco
de
Credito
del
Peru,
VR,
3.125%,
7/1/30
(USD)
(2)(3)
1,170,000
1,075
Total
Peru
(Cost
$1,176
)
1,075
PHILIPPINES
0.1%
Government
Bonds
0.1%
Republic
of
Philippines,
0.25%,
4/28/25
(EUR)
910,000
927
Total
Philippines
(Cost
$1,092
)
927
POLAND
0.0%
Corporate
Bonds
0.0%
InPost,
2.25%,
7/15/27
(EUR)
(1)
365,000
347
Total
Poland
(Cost
$435
)
347
PORTUGAL
0.3%
Corporate
Bonds
0.3%
Banco
Comercial
Portugues,
VR,
1.125%,
2/12/27
(3)
1,000,000
957
Banco
Comercial
Portugues,
VR,
1.75%,
4/7/28
(3)
600,000
553
Banco
Comercial
Portugues,
VR,
6.888%,
12/7/27
(2)(3)
1,200,000
1,216
Total
Portugal
(Cost
$2,831
)
2,726
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
QATAR
0.2%
Corporate
Bonds
0.2%
QNB
Finance,
2.75%,
2/12/27
(USD)
2,200,000
2,034
Total
Qatar
(Cost
$2,097
)
2,034
ROMANIA
1.8%
Corporate
Bonds
0.2%
Banca
Transilvania,
VR,
8.875%,
4/27/27
(EUR)
(2)(3)
1,360,000
1,529
1,529
Government
Bonds
1.6%
Republic
of
Romania,
2.125%,
3/7/28
(EUR)
(1)
1,510,000
1,434
Republic
of
Romania,
2.875%,
10/28/24
(EUR)
305,000
328
Republic
of
Romania,
2.875%,
5/26/28
(EUR)
(2)
3,700,000
3,632
Republic
of
Romania,
3.624%,
5/26/30
(EUR)
4,101,000
3,932
Republic
of
Romania,
Series
15Y,
4.75%,
10/11/34
37,045,000
6,882
16,208
Total
Romania
(Cost
$19,719
)
17,737
SAUDI
ARABIA
0.1%
Government
Bonds
0.1%
Saudi
Arabian
Oil,
4.25%,
4/16/39
(USD)
1,000,000
884
Total
Saudi
Arabia
(Cost
$926
)
884
SENEGAL
0.2%
Government
Bonds
0.2%
Republic
of
Senegal,
4.75%,
3/13/28
(EUR)
1,070,000
1,008
Republic
of
Senegal,
5.375%,
6/8/37
(EUR)
1,530,000
1,120
Total
Senegal
(Cost
$2,015
)
2,128
SERBIA
1.2%
Corporate
Bonds
0.1%
Summer
BidCo,
9.00%,
11/15/25,
(9.00%
Cash
or
9.75%
PIK)
(EUR)
(5)
296,383
289
United
Group,
4.625%,
8/15/28
(EUR)
(1)
650,000
574
863
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
Government
Bonds
1.1%
Republic
of
Serbia,
1.00%,
9/23/28
(EUR)
(1)
4,900,000
4,148
Republic
of
Serbia,
1.50%,
6/26/29
(EUR)
(1)
1,890,000
1,599
Republic
of
Serbia,
1.65%,
3/3/33
(EUR)
2,090,000
1,526
Republic
of
Serbia,
2.05%,
9/23/36
(EUR)
(1)
1,742,000
1,171
Republic
of
Serbia,
2.05%,
9/23/36
(EUR)
2,450,000
1,646
Republic
of
Serbia,
Series
12.5,
4.50%,
8/20/32
120,400,000
998
11,088
Total
Serbia
(Cost
$15,981
)
11,951
SINGAPORE
3.4%
Government
Bonds
3.4%
Government
of
Singapore,
0.50%,
11/1/25
7,340,000
5,069
Government
of
Singapore,
1.625%,
7/1/31
8,331,000
5,535
Government
of
Singapore,
2.375%,
6/1/25
3,960,000
2,865
Government
of
Singapore,
2.875%,
7/1/29
28,484,000
20,780
Total
Singapore
(Cost
$34,196
)
34,249
SLOVENIA
1.2%
Government
Bonds
1.2%
Republic
of
Slovenia,
Series
RS74,
1.50%,
3/25/35
1,805,000
1,589
Republic
of
Slovenia,
Series
RS76,
3.125%,
8/7/45
6,515,000
6,621
Republic
of
Slovenia,
Series
RS77,
2.25%,
3/3/32
900,000
910
Republic
of
Slovenia,
Series
RS78,
1.75%,
11/3/40
2,675,000
2,220
Republic
of
Slovenia,
Series
RS86,
0.00%,
2/12/31
955,000
817
Total
Slovenia
(Cost
$15,539
)
12,157
SOUTH
AFRICA
1.2%
Corporate
Bonds
0.1%
Anglo
American
Capital,
3.375%,
3/11/29
(GBP)
(2)
850,000
914
914
Government
Bonds
1.1%
Republic
of
South
Africa,
Series
R186,
10.50%,
12/21/26
76,790,000
4,242
Republic
of
South
Africa,
Series
R213,
7.00%,
2/28/31
165,298,000
7,033
11,275
Total
South
Africa
(Cost
$12,602
)
12,189
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
SOUTH
KOREA
0.4%
Corporate
Bonds
0.4%
NongHyup
Bank,
4.875%,
7/3/28
(USD)
(1)
1,940,000
1,915
Shinhan
Bank,
4.50%,
4/12/28
(USD)
(1)
2,090,000
2,039
Total
South
Korea
(Cost
$4,015
)
3,954
SPAIN
2.2%
Corporate
Bonds
1.2%
Banco
Bilbao
Vizcaya
Argentaria,
3.375%,
9/20/27
1,400,000
1,480
Banco
de
Sabadell,
VR,
0.875%,
6/16/28
(3)
1,100,000
1,005
Banco
de
Sabadell,
VR,
5.125%,
11/10/28
(3)
900,000
989
Banco
Santander,
1.125%,
1/17/25
1,000,000
1,038
CaixaBank,
3.75%,
9/7/29
500,000
538
CaixaBank,
VR,
2.75%,
7/14/28
(3)
1,600,000
1,745
CaixaBank,
VR,
6.25%,
2/23/33
(3)
400,000
439
Cellnex
Telecom,
1.75%,
10/23/30
(2)
2,900,000
2,550
Cirsa
Finance
International,
6.25%,
12/20/23
(1)
284,766
309
Inmobiliaria
Colonial
Socimi,
1.625%,
11/28/25
1,500,000
1,535
11,628
Government
Bonds
1.0%
Kingdom
of
Spain,
0.00%,
1/31/28
(1)
10,972,000
10,340
10,340
Total
Spain
(Cost
$22,595
)
21,968
SRI
LANKA
0.4%
Government
Bonds
0.4%
Republic
of
Sri
Lanka
Treasury
Bills,
Series
91,
23.307%,
7/7/23
71,000,000
230
Republic
of
Sri
Lanka
Treasury
Bills,
Series
182,
19.00%,
12/1/23
83,000,000
249
Republic
of
Sri
Lanka
Treasury
Bills,
Series
182,
19.00%,
12/15/23
257,000,000
768
Republic
of
Sri
Lanka
Treasury
Bills,
Series
182,
19.70%,
12/8/23
136,000,000
407
Republic
of
Sri
Lanka
Treasury
Bills,
Series
182,
23.18%,
10/6/23
272,000,000
840
Republic
of
Sri
Lanka
Treasury
Bills,
Series
364,
21.75%,
4/5/24
381,000,000
1,083
Total
Sri
Lanka
(Cost
$3,468
)
3,577
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
SWEDEN
2.1%
Corporate
Bonds
0.2%
Akelius
Residential
Property,
1.75%,
2/7/25
(EUR)
1,010,000
1,029
Tele2,
0.75%,
3/23/31
(EUR)
610,000
519
Verisure
Holding,
3.875%,
7/15/26
(EUR)
(1)
260,000
266
1,814
Government
Bonds
1.9%
Kingdom
of
Sweden,
Series
1056,
2.25%,
6/1/32
(2)
218,065,000
19,584
19,584
Total
Sweden
(Cost
$24,890
)
21,398
SWITZERLAND
0.3%
Corporate
Bonds
0.3%
ABB
Finance,
3.375%,
1/16/31
(EUR)
700,000
749
Aquarius
&
Investments
for
Zurich
Insurance,
VR,
4.25%,
10/2/43
(EUR)
(3)
1,069,000
1,160
UBS
Group,
VR,
2.875%,
4/2/32
(EUR)
(3)
1,115,000
1,060
Total
Switzerland
(Cost
$2,949
)
2,969
THAILAND
2.1%
Corporate
Bonds
0.2%
Bangkok
Bank,
VR,
3.733%,
9/25/34
(USD)
(3)
1,750,000
1,485
1,485
Government
Bonds
1.9%
Kingdom
of
Thailand,
2.00%,
12/17/31
500,073,000
13,638
Kingdom
of
Thailand,
3.65%,
6/20/31
176,997,000
5,419
19,057
Total
Thailand
(Cost
$22,366
)
20,542
UNITED
ARAB
EMIRATES
0.2%
Corporate
Bonds
0.2%
Abu
Dhabi
National
Energy,
4.375%,
1/24/29
(USD)
(1)
1,135,000
1,123
MDGH
GMTN
RSC,
4.375%,
11/22/33
(USD)
(1)
770,000
743
Total
United
Arab
Emirates
(Cost
$1,894
)
1,866
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
UNITED
KINGDOM
9.7%
Corporate
Bonds
2.5%
Barclays,
VR,
0.577%,
8/9/29
(EUR)
(3)
820,000
716
Barclays,
VR,
0.877%,
1/28/28
(EUR)
(3)
800,000
757
Barclays,
VR,
5.262%,
1/29/34
(EUR)
(3)
460,000
500
Barclays,
VR,
6.369%,
1/31/31
(3)
790,000
960
Bellis
Acquisition,
3.25%,
2/16/26
(1)(2)
450,000
477
Deuce
Finco,
5.50%,
6/15/27
(1)
345,000
371
Eastern
Power
Networks,
5.75%,
3/8/24
38,000
48
HSBC
Holdings,
VR,
4.752%,
3/10/28
(EUR)
(3)
1,830,000
1,995
INEOS
Finance,
6.625%,
5/15/28
(EUR)
(1)
365,000
391
Kane
Bidco,
5.00%,
2/15/27
(EUR)
1,145,000
1,175
Legal
&
General
Group,
VR,
5.375%,
10/27/45
(3)
525,000
632
Marks
&
Spencer,
6.00%,
6/12/25
450,000
554
Motion
Finco,
7.375%,
6/15/30
(EUR)
(1)
1,085,000
1,177
Nationwide
Building
Society,
VR,
2.00%,
7/25/29
(EUR)
(2)(3)
950,000
991
NatWest
Group,
VR,
0.67%,
9/14/29
(EUR)
(3)
850,000
749
NatWest
Group,
VR,
0.78%,
2/26/30
(EUR)
(3)
365,000
317
NatWest
Group,
VR,
1.043%,
9/14/32
(EUR)
(3)
850,000
757
Next
Group,
3.625%,
5/18/28
1,787,000
1,993
Next
Group,
4.375%,
10/2/26
540,000
640
Santander
U.K.
Group
Holdings,
VR,
0.603%,
9/13/29
(EUR)
(3)
1,050,000
912
Santander
U.K.
Group
Holdings,
VR,
2.421%,
1/17/29
(3)
530,000
547
Santander
U.K.
Group
Holdings,
VR,
3.53%,
8/25/28
(EUR)
(3)
800,000
822
Severn
Trent
Utilities
Finance,
4.625%,
11/30/34
960,000
1,084
Severn
Trent
Utilities
Finance,
6.125%,
2/26/24
104,000
132
Sky,
1.875%,
11/24/23
(EUR)
881,000
953
Standard
Chartered,
VR,
2.50%,
9/9/30
(EUR)
(3)
1,500,000
1,518
Tesco
Corporate
Treasury
Services,
0.875%,
5/29/26
(EUR)
1,000,000
995
Tesco
Corporate
Treasury
Services,
1.875%,
11/2/28
950,000
963
Vmed
O2
U.K.
Financing
I,
4.50%,
7/15/31
(1)
1,095,000
1,052
Vmed
O2
U.K.
Financing
I,
4.50%,
7/15/31
750,000
720
24,898
Government
Bonds
7.2%
United
Kingdom
Gilt,
0.625%,
6/7/25
12,751,000
14,825
United
Kingdom
Gilt,
0.625%,
10/22/50
5,300,000
2,730
United
Kingdom
Gilt,
1.50%,
7/22/26
21,165,000
24,211
United
Kingdom
Gilt,
4.25%,
12/7/46
367,792
449
United
Kingdom
Gilt,
Inflation-Indexed,
Series
3MO,
0.125%,
3/22/26
5,734,005
7,022
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
United
Kingdom
Gilt,
Inflation-Indexed,
Series
3MO,
0.125%,
8/10/28
18,987,462
23,185
72,422
Total
United
Kingdom
(Cost
$105,204
)
97,320
UNITED
STATES
4.7%
Corporate
Bonds
4.5%
AbbVie,
2.625%,
11/15/28
(EUR)
995,000
1,020
American
Honda
Finance,
0.75%,
11/25/26
(GBP)
796,000
845
American
Honda
Finance,
1.95%,
10/18/24
(EUR)
847,000
900
Ardagh
Metal
Packaging
Finance
USA,
3.00%,
9/1/29
(EUR)
(1)
1,130,000
915
Athene
Global
Funding,
0.832%,
1/8/27
(EUR)
1,045,000
976
Bank
of
America,
VR,
1.379%,
2/7/25
(EUR)
(3)
1,414,000
1,515
Bank
of
America,
VR,
1.662%,
4/25/28
(EUR)
(2)(3)
1,350,000
1,323
Becton
Dickinson
&
Company,
3.02%,
5/24/25
(GBP)
1,018,000
1,218
Becton
Dickinson
Euro
Finance,
1.213%,
2/12/36
(EUR)
408,000
320
Berkshire
Hathaway
Finance,
1.50%,
3/18/30
(EUR)
1,020,000
956
Capital
One
Financial,
1.65%,
6/12/29
(EUR)
2,100,000
1,853
Comcast,
0.00%,
9/14/26
(EUR)
1,000,000
964
Dana
Financing
Luxembourg,
8.50%,
7/15/31
(EUR)
(1)
464,000
522
Encore
Capital
Group,
4.875%,
10/15/25
(EUR)
(1)
540,000
549
Encore
Capital
Group,
5.375%,
2/15/26
(GBP)
(1)
910,000
1,009
Fiserv,
0.375%,
7/1/23
(EUR)
270,000
295
Fiserv,
1.625%,
7/1/30
(EUR)
100,000
93
Fiserv,
3.00%,
7/1/31
(GBP)
1,000,000
1,015
Fiserv,
4.50%,
5/24/31
(EUR)
(2)
1,760,000
1,928
Ford
Motor
Credit,
4.867%,
8/3/27
(EUR)
(2)
1,050,000
1,124
General
Motors
Financial,
0.85%,
2/26/26
(EUR)
1,000,000
994
Goldman
Sachs
Group,
1.625%,
7/27/26
(EUR)
1,204,000
1,224
Goldman
Sachs
Group,
VR,
3.625%,
10/29/29
(GBP)
(3)
545,000
597
Graphic
Packaging
International,
2.625%,
2/1/29
(EUR)
(1)
625,000
597
Harley-Davidson
Financial
Services,
5.125%,
4/5/26
(EUR)
(2)
1,370,000
1,508
Highland
Holdings,
0.318%,
12/15/26
(EUR)
765,000
737
JPMorgan
Chase,
1.50%,
10/29/26
(EUR)
1,300,000
1,311
Medtronic
Global
Holdings,
0.375%,
10/15/28
(EUR)
554,000
511
Metropolitan
Life
Global
Funding,
5.00%,
1/10/30
(GBP)
650,000
782
Mondelez
International,
0.25%,
3/17/28
(EUR)
925,000
860
Mondelez
International
Holdings
Netherlands,
0.25%,
9/9/29
(EUR)
(1)
689,000
612
Morgan
Stanley,
VR,
0.406%,
10/29/27
(EUR)
(3)
1,269,000
1,207
Morgan
Stanley,
VR,
0.495%,
10/26/29
(EUR)
(2)(3)
2,120,000
1,885
Morgan
Stanley,
VR,
5.148%,
1/25/34
(EUR)
(3)
400,000
457
Netflix,
3.875%,
11/15/29
(EUR)
1,975,000
2,096
Prologis,
2.25%,
6/30/29
(GBP)
1,252,000
1,275
T.
ROWE
PRICE
International
Bond
Fund
Par/Shares
$
Value
(Cost
and
value
in
$000s)
Thermo
Fisher
Scientific,
0.875%,
10/1/31
(EUR)
955,000
834
Thermo
Fisher
Scientific,
2.375%,
4/15/32
(EUR)
156,000
153
Thermo
Fisher
Scientific
Finance
I,
0.80%,
10/18/30
(EUR)
(2)
593,000
530
Upjohn
Finance,
1.908%,
6/23/32
(EUR)
880,000
735
Utah
Acquisition,
3.125%,
11/22/28
(EUR)
995,000
1,000
Verizon
Communications,
1.30%,
5/18/33
(EUR)
835,000
702
Verizon
Communications,
2.625%,
12/1/31
(EUR)
750,000
735
VF,
4.125%,
3/7/26
(EUR)
669,000
723
VF,
4.25%,
3/7/29
(EUR)
695,000
746
Westlake,
1.625%,
7/17/29
(EUR)
2,680,000
2,399
44,550
Municipal
Securities
0.2%
Puerto
Rico
Commonwealth,
GO,
VR,
11/1/43
(6)
3,929,813
1,980
1,980
Total
United
States
(Cost
$51,467
)
46,530
SHORT-TERM
INVESTMENTS
4.8%
Money
Market
Funds
3.6%
T.
Rowe
Price
Government
Reserve
Fund,
5.13%
(7)(8)
35,978,702
35,979
35,979
U.S.
Treasury
Obligations
1.2%
U.S.
Treasury
Bills,
4.899%,
9/28/23
(9)
11,270,000
11,129
11,129
Total
Short-Term
Investments
(Cost
$47,115)
47,108
SECURITIES
LENDING
COLLATERAL
6.3%
INVESTMENTS
IN
A
POOLED
ACCOUNT
THROUGH
SECURITIES
LENDING
PROGRAM
WITH
JPMORGAN
CHASE
BANK
6.3%
Money
Market
Funds
6.3%
T.
Rowe
Price
Government
Reserve
Fund,
5.13%
(7)(8)
63,157,138
63,157
Total
Investments
in
a
Pooled
Account
through
Securities
Lending
Program
with
JPMorgan
Chase
Bank
63,157
Total
Securities
Lending
Collateral
(Cost
$63,157)
63,157
Total
Investments
in
Securities
105.4%
of
Net
Assets
(Cost
$1,128,940)
$
1,051,529
T.
ROWE
PRICE
International
Bond
Fund
‡
Country
classifications
are
generally
based
on
MSCI
categories
or
another
unaffiliated
third
party
data
provider;
Par/Shares
and
Notional
Amount
are
denominated
in
the
currency
of
the
country
presented
unless
otherwise
noted.
(1)
Security
was
purchased
pursuant
to
Rule
144A
under
the
Securities
Act
of
1933
and
may
be
resold
in
transactions
exempt
from
registration
only
to
qualified
institutional
buyers.
Total
value
of
such
securities
at
period-end
amounts
to
$71,805
and
represents
7.2%
of
net
assets.
(2)
See
Note
4
.
All
or
a
portion
of
this
security
is
on
loan
at
June
30,
2023.
(3)
Security
is
a
fix-to-float
security,
which
carries
a
fixed
coupon
until
a
certain
date,
upon
which
it
switches
to
a
floating
rate.
Reference
rate
and
spread
are
provided
if
the
rate
is
currently
floating.
(4)
Perpetual
security
with
no
stated
maturity
date.
(5)
Security
has
the
ability
to
pay
in-kind
or
pay
in
cash.
When
applicable,
separate
rates
of
such
payments
are
disclosed.
(6)
Contingent
value
instrument
that
only
pays
out
if
a
portion
of
the
territory's
Sales
and
Use
Tax
outperforms
the
projections
in
the
Oversight
Board’s
Certified
Fiscal
Plan.
(7)
Seven-day
yield
(8)
Affiliated
Companies
(9)
At
June
30,
2023,
all
or
a
portion
of
this
security
is
pledged
as
collateral
and/or
margin
deposit
to
cover
future
funding
obligations.
3M
EURIBOR
Three
month
EURIBOR
(Euro
interbank
offered
rate)
6M
EURIBOR
Six
month
EURIBOR
(Euro
interbank
offered
rate)
6M
PLN
WIBOR
Six
month
PLN
WIBOR
(Warsaw
interbank
offered
rate)
AUD
Australian
Dollar
BRL
Brazilian
Real
CAD
Canadian
Dollar
CHF
Swiss
Franc
CLP
Chilean
Peso
CNH
Offshore
China
Renminbi
COP
Colombian
Peso
CZK
Czech
Koruna
DKK
Danish
Krone
EUR
Euro
FRN
Floating
Rate
Note
GBP
British
Pound
GBP
SONIA
Sterling
Overnight
Index
Average
GO
General
Obligation
HUF
Hungarian
Forint
IDR
Indonesian
Rupiah
ILS
Israeli
Shekel
INR
Indian
Rupee
JPY
Japanese
Yen
KRW
South
Korean
Won
MXIBTIIE
Mexican
Interbank
28
day
interest
rate
MXN
Mexican
Peso
MYR
Malaysian
Ringgit
T.
ROWE
PRICE
International
Bond
Fund
.
.
.
.
.
.
.
.
.
.
NOK
Norwegian
Krone
NZD
New
Zealand
Dollar
PEN
Peruvian
New
Sol
PIK
Payment-in-kind
PLN
Polish
Zloty
RON
New
Romanian
Leu
RSD
Serbian
Dinar
SEK
Swedish
Krona
SGD
Singapore
Dollar
THB
Thai
Baht
TWD
Taiwan
Dollar
USD
U.S.
Dollar
VR
Variable
Rate;
rate
shown
is
effective
rate
at
period-end.
The
rates
for
certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
based
on
current
market
conditions.
ZAR
South
African
Rand
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
SWAPS
(0.7)%
Description
Notional
Amount
$
Value
Upfront
Payments/
$
(Receipts)
Unrealized
$
Gain/(Loss)
BILATERAL
SWAPS
0.0%
Credit
Default
Swaps,
Protection
Sold
0.0%
Greece
0.0%
Bank
of
America,
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
12/20/24
(USD)
*
3,672
40
(45)
85
Bank
of
America,
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
12/20/29
(USD)
*
1,700
3
(55)
58
Barclays
Bank,
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
6/20/24
(USD)
*
380
3
(5)
8
Barclays
Bank,
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
12/20/24
(USD)
*
2,800
30
(5)
35
Citibank,
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
6/20/25
(USD)
*
1,356
18
(30)
48
Morgan
Stanley,
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
12/20/24
(USD)
*
833
9
(2)
11
Morgan
Stanley,
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
6/20/25
(USD)
*
572
8
(10)
18
Total
Greece
(152)
263
Total
Bilateral
Credit
Default
Swaps,
Protection
Sold
(152)
263
Interest
Rate
Swaps
0.0%
China
0.0%
Citibank,
7
Year
Interest
Rate
Swap,
Receive
Fixed
2.650%
Quarterly,
Pay
Variable
2.20%,
(7
Day
Interbank
Repo)
Quarterly,
5/15/30
22,021
36
—
36
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
Description
Notional
Amount
$
Value
Upfront
Payments/
$
(Receipts)
Unrealized
$
Gain/(Loss)
Citibank,
7
Year
Interest
Rate
Swap,
Receive
Fixed
2.650%
Quarterly,
Pay
Variable
2.35%,
(7
Day
Interbank
Repo)
Quarterly,
5/16/30
21,812
35
—
35
Total
China
—
71
Total
Bilateral
Interest
Rate
Swaps
—
71
Total
Bilateral
Swaps
(152)
334
Description
Notional
Amount
$
Value
Initial
$
Value
**
Unrealized
$
Gain/(Loss)
CENTRALLY
CLEARED
SWAPS
(0.7)%
Credit
Default
Swaps,
Protection
Bought
(0.0)%
Canada
(0.0)%
Protection
Bought
(Relevant
Credit:
Bombardier),
Pay
5.00%
Quarterly,
Receive
upon
credit
default,
6/20/28
(USD)
2,550
(115)
(103)
(12)
Total
Canada
(12)
Total
Centrally
Cleared
Credit
Default
Swaps,
Protection
Bought
(12)
Credit
Default
Swaps,
Protection
Sold
0.0%
Foreign/Europe
0.0%
Protection
Sold
(Relevant
Credit:
Markit
iTraxx
Europe-S38,
5
Year
Index),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
12/20/27
16,035
234
(10)
244
Protection
Sold
(Relevant
Credit:
Markit
iTraxx
Europe-S39,
5
Year
Index),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
6/20/28
18,250
125
125
—
Protection
Sold
(Relevant
Credit:
Markit
iTraxx
Europe-S39,
5
Year
Index),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
6/20/28
1,800
24
12
12
Total
Foreign/Europe
256
Greece
0.0%
Protection
Sold
(Relevant
Credit:
Hellenic
Republic,
BB+*),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
6/20/26
(USD)
*
1,600
25
17
8
Total
Greece
8
Total
Centrally
Cleared
Credit
Default
Swaps,
Protection
Sold
264
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
Description
Notional
Amount
$
Value
Initial
$
Value**
Unrealized
$
Gain/(Loss)
Interest
Rate
Swaps
(0.7)%
China
0.0%
5
Year
Interest
Rate
Swap,
Receive
Fixed
2.476%
Quarterly,
Pay
Variable
2.850%
(7
Day
Interbank
Repo)
Quarterly,
6/1/28
29,985
18
—
18
5
Year
Interest
Rate
Swap,
Receive
Fixed
2.562%
Quarterly,
Pay
Variable
2.200%
(7
Day
Interbank
Repo)
Quarterly,
5/15/28
6,673
8
—
8
5
Year
Interest
Rate
Swap,
Receive
Fixed
2.568%
Quarterly,
Pay
Variable
2.350%
(7
Day
Interbank
Repo)
Quarterly,
5/16/28
22,665
28
—
28
5
Year
Interest
Rate
Swap,
Receive
Fixed
2.579%
Quarterly,
Pay
Variable
2.200%
(7
Day
Interbank
Repo)
Quarterly,
5/15/28
28,915
38
—
38
Total
China
92
Foreign/Europe
(0.5)%
4
Year
Interest
Rate
Swap,
Receive
Fixed
(0.144)%
Annually,
Pay
Variable
3.562%
(6M
EURIBOR)
Semi-Annually,
10/20/25
8,110
(823)
—
(823)
7
Year
Interest
Rate
Swap,
Receive
Fixed
2.638%
Annually,
Pay
Variable
3.790%
(6M
EURIBOR)
Semi-Annually,
12/17/29
7,350
(128)
—
(128)
10
Year
Interest
Rate
Swap,
Receive
Fixed
0.830%
Annually,
Pay
Variable
3.290%
(6M
EURIBOR)
Semi-Annually,
3/2/32
11,900
(2,260)
—
(2,260)
10
Year
Interest
Rate
Swap,
Receive
Fixed
1.222%
Annually,
Pay
Variable
3.341%
(6M
EURIBOR)
Semi-Annually,
4/5/32
9,850
(1,530)
—
(1,530)
10
Year
Interest
Rate
Swap,
Receive
Fixed
1.627%
Annually,
Pay
Variable
3.587%
(6M
EURIBOR)
Semi-Annually,
4/21/32
3,623
(439)
—
(439)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.440%
Annually,
Pay
Variable
3.930%
(6M
EURIBOR)
Semi-Annually,
6/30/32
2,200
(145)
—
(145)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.683%
Annually,
Pay
Variable
3.760%
(6M
EURIBOR)
Semi-Annually,
11/30/32
700
(12)
—
(12)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.698%
Annually,
Pay
Variable
3.760%
(6M
EURIBOR)
Semi-Annually,
11/30/32
300
(5)
—
(5)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.702%
Annually,
Pay
Variable
3.714%
(6M
EURIBOR)
Semi-Annually,
11/24/32
843
(12)
1
(13)
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
Description
Notional
Amount
$
Value
Initial
$
Value**
Unrealized
$
Gain/(Loss)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.712%
Annually,
Pay
Variable
3.714%
(6M
EURIBOR)
Semi-Annually,
11/24/32
281
(3)
1
(4)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.730%
Annually,
Pay
Variable
3.707%
(6M
EURIBOR)
Semi-Annually,
11/23/32
13,600
(166)
—
(166)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.735%
Annually,
Pay
Variable
3.687%
(6M
EURIBOR)
Semi-Annually,
11/22/32
750
(9)
—
(9)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.796%
Annually,
Pay
Variable
3.663%
(6M
EURIBOR)
Semi-Annually,
11/17/32
473
(3)
—
(3)
10
Year
Interest
Rate
Swap,
Receive
Fixed
2.803%
Annually,
Pay
Variable
3.658%
(6M
EURIBOR)
Semi-Annually,
11/18/32
803
(3)
1
(4)
10
Year
Interest
Rate
Swap,
Receive
Fixed
3.025%
Annually,
Pay
Variable
0.000%
(6M
EURIBOR)
Semi-Annually,
4/4/33
4,500
3
—
3
Total
Foreign/Europe
(5,538)
Mexico
(0.1)%
7
Year
Interest
Rate
Swap,
Receive
Fixed
5.499%
28
Days,
Pay
Variable
11.500%
(MXIBTIIE)
28
Days,
5/4/27
100,000
(612)
—
(612)
Total
Mexico
(612)
Poland
0.1%
5
Year
Interest
Rate
Swap,
Pay
Fixed
5.010%
Annually,
Receive
Variable
6.950%
(6M
PLN
WIBOR)
Semi-Annually,
6/30/28
58,600
(14)
—
(14)
10
Year
Interest
Rate
Swap,
Pay
Fixed
1.775%
Annually,
Receive
Variable
6.950%
(6M
PLN
WIBOR)
Semi-Annually,
10/22/29
5,882
241
1
240
10
Year
Interest
Rate
Swap,
Pay
Fixed
1.780%
Annually,
Receive
Variable
6.950%
(6M
PLN
WIBOR)
Semi-Annually,
10/22/29
4,118
167
—
167
10
Year
Interest
Rate
Swap,
Pay
Fixed
1.803%
Annually,
Receive
Variable
6.950%
(6M
PLN
WIBOR)
Semi-Annually,
11/5/29
2,089
84
—
84
10
Year
Interest
Rate
Swap,
Pay
Fixed
1.820%
Annually,
Receive
Variable
6.950%
(6M
PLN
WIBOR)
Semi-Annually,
11/5/29
2,089
84
1
83
10
Year
Interest
Rate
Swap,
Pay
Fixed
1.860%
Annually,
Receive
Variable
6.950%
(6M
PLN
WIBOR)
Semi-Annually,
11/7/29
2,057
81
—
81
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
Description
Notional
Amount
$
Value
Initial
$
Value**
Unrealized
$
Gain/(Loss)
10
Year
Interest
Rate
Swap,
Pay
Fixed
3.158%
Annually,
Receive
Variable
6.990%
(6M
PLN
WIBOR)
Semi-Annually,
2/14/28
14,789
322
—
322
Total
Poland
963
United
Kingdom
(0.2)%
2
Year
Interest
Rate
Swap,
Receive
Fixed
3.955%
Annually,
Pay
Variable
4.208%
(GBP
SONIA)
Annually,
1/27/25
50,282
(2,064)
1
(2,065)
Total
United
Kingdom
(2,065)
Total
Centrally
Cleared
Interest
Rate
Swaps
(7,160)
Total
Centrally
Cleared
Swaps
(6,908)
Net
payments
(receipts)
of
variation
margin
to
date
6,812
Variation
margin
receivable
(payable)
on
centrally
cleared
swaps
$
(96)
*
Credit
ratings
as
of
June
30,
2023.
Ratings
shown
are
from
Moody’s
Investors
Service
and
if
Moody’s
does
not
rate
a
security,
then
Standard
&
Poor’s
(S&P)
is
used.
Fitch
is
used
for
securities
that
are
not
rated
by
either
Moody’s
or
S&P.
**
Includes
interest
purchased
or
sold
but
not
yet
collected
of
$5.
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
FORWARD
CURRENCY
EXCHANGE
CONTRACTS
Counterparty
Settlement
Receive
Deliver
Unrealized
Gain/(Loss)
Bank
of
America
7/7/23
KRW
944,995
USD
710
$
7
Bank
of
America
7/7/23
KRW
6,346,901
USD
4,926
(107)
Bank
of
America
7/7/23
USD
6,955
TWD
207,947
278
Bank
of
America
7/14/23
DKK
11,649
USD
1,723
(15)
Bank
of
America
7/14/23
USD
2,546
CZK
54,662
38
Bank
of
America
7/21/23
AUD
3,995
USD
2,717
(54)
Bank
of
America
7/21/23
CAD
11,138
USD
8,295
115
Bank
of
America
7/21/23
USD
1,464
JPY
193,004
122
Bank
of
America
8/11/23
CLP
741,457
USD
909
10
Bank
of
America
8/18/23
USD
5,061
PLN
21,604
(239)
Bank
of
America
8/25/23
SEK
4,907
USD
459
(3)
Bank
of
America
8/25/23
USD
1,235
EUR
1,136
(8)
Bank
of
America
8/25/23
USD
15,259
GBP
12,172
(204)
Bank
of
America
9/1/23
USD
586
INR
48,771
(7)
Bank
of
America
9/5/23
BRL
12,981
USD
2,532
146
Bank
of
America
9/15/23
USD
9,424
SGD
12,596
83
Barclays
Bank
7/7/23
IDR
15,759,036
USD
1,046
4
Barclays
Bank
7/7/23
KRW
24,206,592
USD
18,433
(56)
Barclays
Bank
7/7/23
USD
25,470
KRW
33,415,339
102
Barclays
Bank
7/14/23
RON
11,613
USD
2,556
(1)
Barclays
Bank
7/21/23
USD
3,071
NZD
4,923
50
Barclays
Bank
8/25/23
EUR
2,332
USD
2,554
(3)
Barclays
Bank
8/25/23
USD
827
EUR
772
(17)
Barclays
Bank
10/6/23
KRW
33,415,339
USD
25,595
(97)
BNP
Paribas
7/7/23
USD
818
IDR
12,254,572
1
BNP
Paribas
7/14/23
CZK
75,026
USD
3,366
75
BNP
Paribas
7/14/23
MXN
8,998
USD
488
36
BNP
Paribas
7/14/23
USD
2,589
HUF
903,856
(48)
BNP
Paribas
7/21/23
AUD
1,687
USD
1,117
7
BNP
Paribas
7/21/23
AUD
569
USD
381
(2)
BNP
Paribas
7/21/23
CAD
2,164
USD
1,589
45
BNP
Paribas
7/21/23
JPY
780,079
USD
5,913
(488)
BNP
Paribas
8/18/23
PLN
12,068
USD
2,915
46
BNP
Paribas
8/25/23
EUR
78,998
USD
86,462
(20)
BNP
Paribas
8/25/23
USD
5,092
EUR
4,726
(79)
BNP
Paribas
8/25/23
USD
965
GBP
770
(13)
BNP
Paribas
9/5/23
BRL
10,180
USD
2,004
97
BNP
Paribas
9/8/23
USD
561
COP
2,564,489
(42)
BNP
Paribas
9/8/23
USD
7,794
MYR
35,669
84
Canadian
Imperial
Bank
of
Commerce
7/21/23
CAD
3,252
USD
2,389
67
Canadian
Imperial
Bank
of
Commerce
9/15/23
USD
9,411
SGD
12,591
74
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
FORWARD
CURRENCY
EXCHANGE
CONTRACTS
(CONTINUED)
Counterparty
Settlement
Receive
Deliver
Unrealized
Gain/(Loss)
Citibank
7/7/23
IDR
69,989,951
USD
4,667
$
(3)
Citibank
7/7/23
PEN
4,273
USD
1,131
46
Citibank
7/7/23
USD
589
TWD
17,983
12
Citibank
7/14/23
CZK
59,214
USD
2,686
30
Citibank
7/14/23
HUF
1,748,952
USD
5,036
66
Citibank
7/14/23
MXN
12,132
USD
699
8
Citibank
7/14/23
USD
5,167
RON
23,479
2
Citibank
7/20/23
USD
12,712
ILS
46,144
256
Citibank
7/21/23
AUD
3,821
USD
2,599
(52)
Citibank
7/21/23
JPY
813,110
USD
5,788
(134)
Citibank
7/21/23
NOK
16,159
USD
1,553
(47)
Citibank
7/21/23
USD
1,800
AUD
2,676
16
Citibank
7/21/23
USD
1,491
AUD
2,250
(9)
Citibank
8/18/23
RSD
15,855
USD
148
(1)
Citibank
8/18/23
USD
5,389
PLN
22,523
(136)
Citibank
8/18/23
USD
921
RSD
98,027
9
Citibank
8/25/23
EUR
1,187
USD
1,299
—
Citibank
8/25/23
USD
6,227
EUR
5,770
(86)
Citibank
9/8/23
USD
1,277
COP
5,770,100
(80)
Citibank
10/6/23
USD
4,661
IDR
69,989,951
14
Deutsche
Bank
7/7/23
TWD
104,238
USD
3,349
(2)
Deutsche
Bank
7/21/23
AUD
8,982
USD
6,092
(104)
Deutsche
Bank
7/21/23
USD
2,122
NZD
3,479
(12)
Deutsche
Bank
8/18/23
PLN
10,047
USD
2,429
36
Deutsche
Bank
8/18/23
USD
2,510
PLN
10,604
(91)
Deutsche
Bank
8/25/23
EUR
2,529
USD
2,771
(3)
Deutsche
Bank
8/25/23
USD
8,672
EUR
8,038
(123)
Deutsche
Bank
9/1/23
INR
216,197
USD
2,600
29
Deutsche
Bank
9/1/23
USD
1,873
INR
156,461
(29)
Deutsche
Bank
9/8/23
USD
3,958
MYR
18,086
48
Deutsche
Bank
9/15/23
USD
2,886
ZAR
55,623
(46)
Deutsche
Bank
10/6/23
USD
3,364
TWD
104,238
4
Goldman
Sachs
7/7/23
IDR
61,116,410
USD
4,090
(17)
Goldman
Sachs
7/7/23
TWD
183,634
USD
5,891
5
Goldman
Sachs
7/7/23
USD
2,835
IDR
42,638,274
(6)
Goldman
Sachs
7/7/23
USD
6,801
TWD
203,452
269
Goldman
Sachs
7/14/23
CZK
120,724
USD
5,599
(61)
Goldman
Sachs
7/14/23
USD
532
ZAR
9,806
11
Goldman
Sachs
8/25/23
EUR
4,319
USD
4,737
(11)
Goldman
Sachs
8/25/23
GBP
5,584
USD
7,015
79
Goldman
Sachs
8/25/23
USD
376
EUR
347
(4)
Goldman
Sachs
9/8/23
USD
4,513
THB
155,546
95
Goldman
Sachs
9/15/23
CNH
63,581
USD
8,966
(164)
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
FORWARD
CURRENCY
EXCHANGE
CONTRACTS
(CONTINUED)
Counterparty
Settlement
Receive
Deliver
Unrealized
Gain/(Loss)
Goldman
Sachs
10/6/23
USD
4,086
IDR
61,116,410
$
29
Goldman
Sachs
10/6/23
USD
5,920
TWD
183,634
1
HSBC
Bank
7/7/23
KRW
1,916,851
USD
1,484
(29)
HSBC
Bank
7/7/23
TWD
176,318
USD
5,704
(43)
HSBC
Bank
7/7/23
USD
3,870
IDR
58,445,286
(25)
HSBC
Bank
7/7/23
USD
1,155
TWD
34,808
37
HSBC
Bank
7/14/23
USD
912
MXN
16,801
(66)
HSBC
Bank
8/25/23
USD
1,871
EUR
1,723
(14)
HSBC
Bank
9/1/23
INR
662,333
USD
8,012
40
HSBC
Bank
9/1/23
USD
1,301
INR
108,120
(14)
HSBC
Bank
9/8/23
USD
3,956
MYR
18,085
46
HSBC
Bank
9/15/23
CNH
650,486
USD
91,948
(1,896)
HSBC
Bank
10/6/23
USD
3,108
TWD
96,220
7
JPMorgan
Chase
7/14/23
USD
562
CZK
11,982
12
JPMorgan
Chase
7/14/23
USD
781
HUF
267,878
—
JPMorgan
Chase
7/14/23
USD
1,201
MXN
22,161
(90)
JPMorgan
Chase
7/21/23
AUD
883
USD
573
16
JPMorgan
Chase
7/21/23
JPY
5,129,027
USD
36,670
(1,004)
JPMorgan
Chase
7/21/23
USD
503
AUD
759
(3)
JPMorgan
Chase
7/21/23
USD
645
CAD
853
1
JPMorgan
Chase
7/21/23
USD
1,610
CAD
2,187
(42)
JPMorgan
Chase
7/21/23
USD
4,165
JPY
600,602
(12)
JPMorgan
Chase
8/18/23
RSD
15,863
USD
147
—
JPMorgan
Chase
8/25/23
EUR
164
USD
180
—
JPMorgan
Chase
8/25/23
GBP
1,540
USD
1,959
(2)
JPMorgan
Chase
8/25/23
SEK
5,516
USD
512
1
JPMorgan
Chase
8/25/23
USD
2,298
EUR
2,108
(8)
JPMorgan
Chase
9/8/23
USD
4,751
THB
163,239
115
JPMorgan
Chase
10/13/23
USD
734
MXN
12,829
(1)
Morgan
Stanley
7/14/23
USD
2,143
MXN
39,391
(152)
Morgan
Stanley
7/21/23
JPY
695,063
USD
5,015
(182)
Morgan
Stanley
8/25/23
USD
4,946
EUR
4,562
(46)
Morgan
Stanley
8/25/23
USD
612
GBP
494
(15)
Morgan
Stanley
9/5/23
USD
4,940
BRL
25,006
(220)
Morgan
Stanley
9/8/23
USD
751
COP
3,419,318
(53)
RBC
Dominion
Securities
7/14/23
MXN
14,325
USD
836
(1)
RBC
Dominion
Securities
7/14/23
USD
786
MXN
14,401
(53)
RBC
Dominion
Securities
7/21/23
CAD
3,379
USD
2,494
57
RBC
Dominion
Securities
7/21/23
JPY
48,972
USD
370
(29)
RBC
Dominion
Securities
7/21/23
NZD
4,448
USD
2,752
(22)
RBC
Dominion
Securities
7/21/23
USD
11,107
CAD
14,863
(116)
RBC
Dominion
Securities
8/25/23
USD
1,489
EUR
1,381
(22)
RBC
Dominion
Securities
10/13/23
USD
822
MXN
14,325
1
T.
ROWE
PRICE
International
Bond
Fund
(Amounts
in
000s)
FORWARD
CURRENCY
EXCHANGE
CONTRACTS
(CONTINUED)
Counterparty
Settlement
Receive
Deliver
Unrealized
Gain/(Loss)
Standard
Chartered
7/21/23
JPY
684,564
USD
4,936
$
(176)
Standard
Chartered
8/25/23
USD
489
EUR
456
(9)
State
Street
7/14/23
HUF
2,725,837
USD
7,682
270
State
Street
7/14/23
MXN
43,929
USD
2,560
(1)
State
Street
7/21/23
CAD
6,964
USD
5,243
16
State
Street
7/21/23
CHF
8,131
USD
9,159
(54)
State
Street
7/21/23
JPY
6,900,098
USD
52,530
(4,549)
State
Street
7/21/23
USD
15,201
JPY
2,023,800
1,128
State
Street
8/25/23
GBP
395
USD
490
11
State
Street
8/25/23
USD
2,383
EUR
2,225
(51)
State
Street
8/25/23
USD
15,285
GBP
12,172
(178)
State
Street
8/25/23
USD
5,266
SEK
54,233
224
State
Street
9/5/23
USD
4,943
BRL
25,006
(217)
State
Street
9/15/23
USD
4,283
ZAR
83,222
(104)
State
Street
10/13/23
USD
1,533
MXN
26,739
1
State
Street
10/13/23
USD
984
MXN
17,190
—
UBS
Investment
Bank
7/7/23
USD
2,275
IDR
33,527,265
41
UBS
Investment
Bank
7/14/23
DKK
11,649
USD
1,723
(15)
UBS
Investment
Bank
7/14/23
RON
33,162
USD
7,338
(42)
UBS
Investment
Bank
7/14/23
USD
2,408
CZK
51,780
32
UBS
Investment
Bank
7/14/23
USD
2,544
HUF
897,121
(73)
UBS
Investment
Bank
7/14/23
USD
3,744
ZAR
69,024
82
UBS
Investment
Bank
7/21/23
USD
2,608
AUD
3,992
(53)
UBS
Investment
Bank
7/21/23
USD
3,058
NZD
4,874
67
UBS
Investment
Bank
8/11/23
USD
2,143
CLP
1,744,966
(21)
UBS
Investment
Bank
8/18/23
PLN
10,700
USD
2,622
3
UBS
Investment
Bank
8/25/23
USD
449
EUR
415
(6)
UBS
Investment
Bank
8/25/23
USD
9,503
SEK
96,760
508
UBS
Investment
Bank
9/8/23
USD
424
COP
1,923,367
(28)
UBS
Investment
Bank
9/8/23
USD
4,634
THB
159,656
100
UBS
Investment
Bank
9/15/23
CNH
33,608
USD
4,758
(105)
Wells
Fargo
7/7/23
USD
1,175
PEN
4,273
(2)
Wells
Fargo
10/6/23
PEN
4,273
USD
1,168
2
Net
unrealized
gain
(loss)
on
open
forward
currency
exchange
contracts
$
(7,198)
T.
ROWE
PRICE
International
Bond
Fund
FUTURES
CONTRACTS
($000s)
Expiration
Date
Notional
Amount
Value
and
Unrealized
Gain
(Loss)
Short,
95
Commonwealth
of
Australia
ten
year
bond
contracts
9/23
(7,352)
$
29
Long,
279
Commonwealth
of
Australia
three
year
bond
contracts
9/23
19,632
(55)
Short,
22
Euro
BOBL
contracts
9/23
(2,778)
26
Long,
24
Euro
BTP
contracts
9/23
3,041
9
Short,
140
Euro
BUND
contracts
9/23
(20,431)
(1)
Long,
23
Euro
BUXL
thirty
year
bond
contracts
9/23
3,504
105
Short,
470
Euro
SCHATZ
contracts
9/23
(53,774)
351
Long,
106
Government
of
Canada
ten
year
bond
contracts
9/23
9,804
(82)
Short,
43
Government
of
Japan
ten
year
bond
contracts
9/23
(44,268)
(186)
Long,
330
Republic
of
South
Korea
ten
year
bond
contracts
9/23
27,789
(28)
Short,
226
Republic
of
South
Korea
three
year
bond
contracts
9/23
(17,792)
41
Short,
1
U.K.
Gilt
ten
year
contracts
9/23
(121)
—
Short,
232
U.S.
Treasury
Notes
five
year
contracts
9/23
(24,846)
(4)
Short,
75
U.S.
Treasury
Notes
ten
year
contracts
9/23
(8,420)
(12)
Net
payments
(receipts)
of
variation
margin
to
date
(74)
Variation
margin
receivable
(payable)
on
open
futures
contracts
$
119
T.
ROWE
PRICE
International
Bond
Fund
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
AFFILIATED
COMPANIES
($000s)
The
fund
may
invest
in
certain
securities
that
are
considered
affiliated
companies.
As
defined
by
the
1940
Act,
an
affiliated
company
is
one
in
which
the
fund
owns
5%
or
more
of
the
outstanding
voting
securities,
or
a
company
that
is
under
common
ownership
or
control.
The
following
securities
were
considered
affiliated
companies
for
all
or
some
portion
of
the
six
months
ended
June
30,
2023.
Net
realized
gain
(loss),
investment
income,
change
in
net
unrealized
gain/loss,
and
purchase
and
sales
cost
reflect
all
activity
for
the
period
then
ended.
Affiliate
Net
Realized
Gain
(Loss)
Change
in
Net
Unrealized
Gain/Loss
Investment
Income
T.
Rowe
Price
Government
Reserve
Fund,
5.13%
$
—
$
—
$
594++
Totals
$
—#
$
—
$
594+
Supplementary
Investment
Schedule
Affiliate
Value
12/31/22
Purchase
Cost
Sales
Cost
Value
06/30/23
T.
Rowe
Price
Government
Reserve
Fund,
5.13%
$
57,376
¤
¤
$
99,136
Total
$
99,136^
#
Capital
gain
distributions
from
underlying
Price
funds
represented
$0
of
the
net
realized
gain
(loss).
++
Excludes
earnings
on
securities
lending
collateral,
which
are
subject
to
rebates
and
fees
as
described
in
Note
4
.
+
Investment
income
comprised
$594
of
dividend
income
and
$0
of
interest
income.
¤
Purchase
and
sale
information
not
shown
for
cash
management
funds.
^
The
cost
basis
of
investments
in
affiliated
companies
was
$99,136.
T.
ROWE
PRICE
International
Bond
Fund
June
30,
2023
(Unaudited)
Statement
of
Assets
and
Liabilities
($000s,
except
shares
and
per
share
amounts)
Assets
Investments
in
securities,
at
value
(cost
$1,128,940)
$
1,051,529
Interest
receivable
8,133
Cash
deposits
on
centrally
cleared
swaps
6,236
Unrealized
gain
on
forward
currency
exchange
contracts
5,370
Cash
deposits
on
futures
contracts
2,869
Foreign
currency
(cost
$2,287)
2,285
Receivable
for
investment
securities
sold
2,216
Receivable
for
shares
sold
498
Unrealized
gain
on
bilateral
swaps
334
Due
from
affiliates
180
Variation
margin
receivable
on
futures
contracts
119
Other
assets
328
Total
assets
1,080,097
Liabilities
Obligation
to
return
securities
lending
collateral
63,157
Unrealized
loss
on
forward
currency
exchange
contracts
12,568
Payable
for
investment
securities
purchased
4,866
Payable
for
shares
redeemed
486
Investment
management
fees
payable
401
Bilateral
swap
premiums
received
152
Variation
margin
payable
on
centrally
cleared
swaps
96
Payable
to
directors
1
Other
liabilities
246
Total
liabilities
81,973
NET
ASSETS
$
998,124
T.
ROWE
PRICE
International
Bond
Fund
June
30,
2023
(Unaudited)
Statement
of
Assets
and
Liabilities
($000s,
except
shares
and
per
share
amounts)
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Net
Assets
Consist
of:
Total
distributable
earnings
(loss)
$
(183,815)
Paid-in
capital
applicable
to
141,292,891
shares
of
$0.01
par
value
capital
stock
outstanding;
18,000,000,000
shares
of
the
Corporation
authorized
1,181,939
NET
ASSETS
$
998,124
NET
ASSET
VALUE
PER
SHARE
Investor
Class
(Net
assets:
$240,854;
Shares
outstanding:
34,133,272)
$
7.06
Advisor
Class
(Net
assets:
$3,033;
Shares
outstanding:
436,948)
$
6.94
I
Class
(Net
assets:
$436,178;
Shares
outstanding:
61,658,009)
$
7.07
Z
Class
(Net
assets:
$318,059;
Shares
outstanding:
45,064,662)
$
7.06
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
6
Months
Ended
6/30/23
Investment
Income
(Loss)
Income
Interest
(net
of
foreign
taxes
of
$7)
$
14,434
Dividend
594
Securities
lending
119
Total
income
15,147
Expenses
Investment
management
2,319
Shareholder
servicing
Investor
Class
$
408
Advisor
Class
19
I
Class
25
452
Rule
12b-1
fees
Advisor
Class
4
Prospectus
and
shareholder
reports
Investor
Class
18
Advisor
Class
1
I
Class
1
20
Custody
and
accounting
161
Proxy
and
annual
meeting
149
Registration
33
Legal
and
audit
20
Directors
2
Miscellaneous
15
Waived
/
paid
by
Price
Associates
(1,156)
Total
expenses
2,019
Net
investment
income
13,128
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
6
Months
Ended
6/30/23
Realized
and
Unrealized
Gain
/
Loss
–
Net
realized
gain
(loss)
Securities
(20,423)
Futures
1,230
Swaps
(6,280)
Options
written
38
Forward
currency
exchange
contracts
3,058
Foreign
currency
transactions
855
Net
realized
loss
(21,522)
Change
in
net
unrealized
gain
/
loss
Securities
22,398
Futures
3,119
Swaps
5,222
Forward
currency
exchange
contracts
(14,193)
Other
assets
and
liabilities
denominated
in
foreign
currencies
(91)
Change
in
net
unrealized
gain
/
loss
16,455
Net
realized
and
unrealized
gain
/
loss
(5,067)
INCREASE
IN
NET
ASSETS
FROM
OPERATIONS
$
8,061
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
Statement
of
Changes
in
Net
Assets
6
Months
Ended
6/30/23
Year
Ended
12/31/22
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
$
13,128
$
20,631
Net
realized
loss
(21,522)
(165,041)
Change
in
net
unrealized
gain
/
loss
16,455
(100,441)
Increase
(decrease)
in
net
assets
from
operations
8,061
(244,851)
Distributions
to
shareholders
Net
earnings
Investor
Class
(2,943)
(3,117)
Advisor
Class
(65)
(27)
I
Class
(5,404)
(4,097)
Z
Class
(4,324)
(3,989)
Tax
return
of
capital
–
–
Investor
Class
–
(2,400)
Advisor
Class
–
(11)
I
Class
–
(3,846)
Z
Class
–
(3,054)
Decrease
in
net
assets
from
distributions
(12,736)
(20,541)
Capital
share
transactions
*
Shares
sold
Investor
Class
13,111
32,605
Advisor
Class
96
542
I
Class
55,502
259,162
Z
Class
90,193
11,806
Distributions
reinvested
Investor
Class
2,846
5,202
Advisor
Class
65
38
I
Class
5,211
7,507
Z
Class
4,368
7,024
Shares
redeemed
Investor
Class
(28,203)
(180,725)
Advisor
Class
(337)
(1,067)
I
Class
(24,065)
(169,317)
Z
Class
(8,913)
(80,612)
Increase
(decrease)
in
net
assets
from
capital
share
transactions
109,874
(107,835)
T.
ROWE
PRICE
International
Bond
Fund
(Unaudited)
Statement
of
Changes
in
Net
Assets
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
6
Months
Ended
6/30/23
Year
Ended
12/31/22
Net
Assets
Increase
(decrease)
during
period
105,199
(373,227)
Beginning
of
period
892,925
1,266,152
End
of
period
$
998,124
$
892,925
*Share
information
(000s)
Shares
sold
Investor
Class
1,824
4,283
Advisor
Class
14
69
I
Class
7,723
32,754
Z
Class
12,463
1,554
Distributions
reinvested
Investor
Class
399
679
Advisor
Class
9
5
I
Class
729
990
Z
Class
613
916
Shares
redeemed
Investor
Class
(3,931)
(22,005)
Advisor
Class
(48)
(140)
I
Class
(3,340)
(22,450)
Z
Class
(1,246)
(10,647)
Increase
(decrease)
in
shares
outstanding
15,209
(13,992)
T.
ROWE
PRICE
International
Bond
Fund
Unaudited
NOTES
TO
FINANCIAL
STATEMENTS
T.
Rowe
Price
International
Funds,
Inc.
(the
corporation) is
registered
under
the
Investment
Company
Act
of
1940
(the
1940
Act).
The
International
Bond
Fund
(the
fund)
is a
nondiversified, open-end
management
investment
company
established
by
the
corporation. The
fund
seeks
to
provide
current
income
and
capital
appreciation.
The
fund
has
four classes
of
shares:
the
International
Bond
Fund
(Investor
Class),
the
International
Bond
Fund–Advisor
Class
(Advisor
Class),
the
International
Bond
Fund–I
Class
(I
Class),
and
the
International
Bond
Fund–Z
Class
(Z
Class).
Advisor
Class
shares
are
sold
only
through
various
brokers
and
other
financial
intermediaries.
I
Class
shares
require
a
$500,000
initial
investment
minimum,
although
the
minimum
generally
is
waived
or
reduced
for
financial
intermediaries,
eligible
retirement
plans,
and
certain
other
accounts.
The
Z
Class
is
only
available
to
funds
advised
by
T.
Rowe
Price
Associates,
Inc.
and
its
affiliates
and
other
clients
that
are
subject
to
a
contractual
fee
for
investment
management
services.
The
Advisor
Class
operates
under
a
Board-approved
Rule
12b-1
plan
pursuant
to
which
the
class
compensates
financial
intermediaries
for
distribution,
shareholder
servicing,
and/or
certain
administrative
services;
the
Investor,
I
and
Z
Classes
do
not
pay
Rule
12b-1
fees. Each
class
has
exclusive
voting
rights
on
matters
related
solely
to
that
class;
separate
voting
rights
on
matters
that
relate
to
all classes;
and,
in
all
other
respects,
the
same
rights
and
obligations
as
the
other
classes.
NOTE
1
-
SIGNIFICANT
ACCOUNTING
POLICIES
Basis
of
Preparation
The fund
is
an
investment
company
and
follows
accounting
and
reporting
guidance
in
the
Financial
Accounting
Standards
Board
(FASB)
Accounting
Standards
Codification
Topic
946
(ASC
946).
The
accompanying
financial
statements
were
prepared
in
accordance
with
accounting
principles
generally
accepted
in
the
United
States
of
America
(GAAP),
including,
but
not
limited
to,
ASC
946.
GAAP
requires
the
use
of
estimates
made
by
management.
Management
believes
that
estimates
and
valuations
are
appropriate;
however,
actual
results
may
differ
from
those
estimates,
and
the
valuations
reflected
in
the
accompanying
financial
statements
may
differ
from
the
value
ultimately
realized
upon
sale
or
maturity.
Investment
Transactions,
Investment
Income,
and
Distributions
Investment
transactions
are
accounted
for
on
the
trade
date
basis.
Income
and
expenses
are
recorded
on
the
accrual
basis.
Realized
gains
and
losses
are
reported
on
the
identified
cost
basis.
Premiums
and
discounts
on
debt
securities
are
amortized
for
financial
reporting
purposes.
Paydown
gains
and
losses
are
recorded
as
an
adjustment
to
interest
T.
ROWE
PRICE
International
Bond
Fund
income.
Inflation
adjustments
to
the
principal
amount
of
inflation-indexed
bonds
are
reflected
as
interest
income.
Income
tax-related
interest
and
penalties,
if
incurred,
are
recorded
as
income
tax
expense.
Dividends
received
from other
investment
companies are
reflected
as
dividend
income;
capital
gain
distributions
are
reflected
as
realized
gain/loss.
Dividend
income and
capital
gain
distributions
are
recorded
on
the
ex-dividend
date.
Non-cash
dividends,
if
any,
are
recorded
at
the
fair
market
value
of
the
asset
received.
Distributions
to
shareholders
are
recorded
on
the
ex-dividend
date.
Income
distributions,
if
any, are
declared
by
each
class daily
and
paid
monthly.
A
capital
gain
distribution,
if
any, may
also
be
declared
and
paid
by
the
fund
annually.
Currency
Translation
Assets,
including
investments,
and
liabilities
denominated
in
foreign
currencies
are
translated
into
U.S.
dollar
values
each
day
at
the
prevailing
exchange
rate,
using
the
mean
of
the
bid
and
asked
prices
of
such
currencies
against
U.S.
dollars
as
provided
by
an
outside
pricing
service.
Purchases
and
sales
of
securities,
income,
and
expenses
are
translated
into
U.S.
dollars
at
the
prevailing
exchange
rate
on
the
respective
date
of
such
transaction.
The
effect
of
changes
in
foreign
currency
exchange
rates
on
realized
and
unrealized
security
gains
and
losses
is
not
bifurcated
from
the
portion
attributable
to
changes
in
market
prices.
Class
Accounting
Shareholder
servicing,
prospectus,
and
shareholder
report
expenses
incurred
by
each
class
are
charged
directly
to
the
class
to
which
they
relate.
Expenses
common
to
all
classes
and
investment
income
are
allocated
to
the
classes
based
upon
the
relative
daily
net
assets
of
each
class’s
settled
shares;
realized
and
unrealized
gains
and
losses
are
allocated
based
upon
the
relative
daily
net
assets
of
each
class’s
outstanding
shares.
The
Advisor
Class
pays
Rule
12b-1
fees,
in
an
amount
not
exceeding
0.25%
of
the
class’s
average
daily
net
assets.
Capital
Transactions
Each
investor’s
interest
in
the
net
assets
of the
fund
is
represented
by
fund
shares. The
fund’s
net
asset
value
(NAV)
per
share
is
computed
at
the
close
of
the
New
York
Stock
Exchange
(NYSE),
normally
4
p.m.
ET,
each
day
the
NYSE
is
open
for
business.
However,
the
NAV
per
share
may
be
calculated
at
a
time
other
than
the
normal
close
of
the
NYSE
if
trading
on
the
NYSE
is
restricted,
if
the
NYSE
closes
earlier,
or
as
may
be
permitted
by
the
SEC.
Purchases
and
redemptions
of
fund
shares
are
transacted
at
the
next-computed
NAV
per
share,
after
receipt
of
the
transaction
order
by
T.
Rowe
Price
Associates,
Inc.,
or
its
agents.
New
Accounting
Guidance
The
FASB
issued
Accounting
Standards
Update
(ASU),
ASU
2020–04,
Reference
Rate
Reform
(Topic
848) –
Facilitation
of
the
Effects
of
Reference
Rate
Reform
on
Financial
Reporting
in
March
2020
and
ASU
2021-01
in
January
2021
which
provided
further
amendments
and
clarifications
to
Topic
848.
These
ASUs provide
optional,
temporary
relief
with
respect
to
the
financial
reporting
of
T.
ROWE
PRICE
International
Bond
Fund
contracts
subject
to
certain
types
of
modifications
due
to
the
planned
discontinuation
of
the
London
Interbank
Offered
Rate
(LIBOR),
and
other
interbank-offered
based
reference
rates,
through December
31,
2022.
In
December
2022,
FASB
issued
ASU
2022-
06
which
defers
the
sunset
date
of
Topic
848
from
December
31,
2022
to
December
31,
2024,
after
which
entities
will
no
longer
be
permitted
to
apply
the
relief
in
Topic
848.
Management
intends
to
rely
upon
the
relief
provided
under
Topic
848,
which
is
not
expected to
have
a
material
impact
on
the fund's
financial
statements.
Indemnification
In
the
normal
course
of
business, the
fund
may
provide
indemnification
in
connection
with
its
officers
and
directors,
service
providers,
and/or
private
company
investments. The
fund’s
maximum
exposure
under
these
arrangements
is
unknown;
however,
the
risk
of
material
loss
is
currently
considered
to
be
remote.
NOTE
2
-
VALUATION
Fair
Value
The
fund’s
financial
instruments
are
valued
at
the
close
of
the
NYSE
and
are
reported
at
fair
value,
which
GAAP
defines
as
the
price
that
would
be
received
to
sell
an
asset
or
paid
to
transfer
a
liability
in
an
orderly
transaction
between
market
participants
at
the
measurement
date. The fund’s
Board
of
Directors
(the
Board)
has
designated
T.
Rowe
Price
Associates,
Inc.
as
the
fund’s
valuation
designee
(Valuation
Designee).
Subject
to
oversight
by
the
Board,
the
Valuation
Designee
performs
the
following
functions
in
performing
fair
value
determinations:
assesses
and
manages
valuation
risks;
establishes
and
applies
fair
value
methodologies;
tests
fair
value
methodologies;
and
evaluates
pricing
vendors
and
pricing
agents.
The
duties
and
responsibilities
of
the
Valuation
Designee
are
performed
by
its
Valuation
Committee. The
Valuation
Designee provides
periodic
reporting
to
the
Board
on
valuation
matters.
Various
valuation
techniques
and
inputs
are
used
to
determine
the
fair
value
of
financial
instruments.
GAAP
establishes
the
following
fair
value
hierarchy
that
categorizes
the
inputs
used
to
measure
fair
value:
Level
1
–
quoted
prices
(unadjusted)
in
active
markets
for
identical
financial
instruments
that
the
fund
can
access
at
the
reporting
date
Level
2
–
inputs
other
than
Level
1
quoted
prices
that
are
observable,
either
directly
or
indirectly
(including,
but
not
limited
to,
quoted
prices
for
similar
financial
instruments
in
active
markets,
quoted
prices
for
identical
or
similar
financial
instruments
in
inactive
markets,
interest
rates
and
yield
curves,
implied
volatilities,
and
credit
spreads)
T.
ROWE
PRICE
International
Bond
Fund
Level
3
–
unobservable
inputs
(including
the Valuation
Designee’s assumptions
in
determining
fair
value)
Observable
inputs
are
developed
using
market
data,
such
as
publicly
available
information
about
actual
events
or
transactions,
and
reflect
the
assumptions
that
market
participants
would
use
to
price
the
financial
instrument.
Unobservable
inputs
are
those
for
which
market
data
are
not
available
and
are
developed
using
the
best
information
available
about
the
assumptions
that
market
participants
would
use
to
price
the
financial
instrument.
GAAP
requires
valuation
techniques
to
maximize
the
use
of
relevant
observable
inputs
and
minimize
the
use
of
unobservable
inputs.
When
multiple
inputs
are
used
to
derive
fair
value,
the
financial
instrument
is
assigned
to
the
level
within
the
fair
value
hierarchy
based
on
the
lowest-level
input
that
is
significant
to
the
fair
value
of
the
financial
instrument.
Input
levels
are
not
necessarily
an
indication
of
the
risk
or
liquidity
associated
with
financial
instruments
at
that
level
but
rather
the
degree
of
judgment
used
in
determining
those
values.
Valuation
Techniques
Debt
securities
generally
are
traded
in
the over-the-counter
(OTC)
market
and
are
valued
at
prices
furnished
by
independent
pricing
services
or
by
broker
dealers
who
make
markets
in
such
securities.
When
valuing
securities,
the
independent
pricing
services
consider
factors
such
as,
but
not
limited
to,
the
yield
or
price
of
bonds
of
comparable
quality,
coupon,
maturity,
and
type,
as
well
as
prices
quoted
by
dealers
who
make
markets
in
such
securities.
Investments
in
mutual
funds
are
valued
at
the
mutual
fund’s
closing
NAV
per
share
on
the
day
of
valuation.
Futures
contracts
are
valued
at
closing
settlement
prices.
Forward
currency
exchange
contracts
are
valued
using
the
prevailing
forward
exchange
rate.
Swaps
are
valued
at
prices
furnished
by
an
independent
pricing
service
or
independent
swap
dealers.
Assets
and
liabilities
other
than
financial
instruments,
including
short-
term
receivables
and
payables,
are
carried
at
cost,
or
estimated
realizable
value,
if
less,
which
approximates
fair
value.
Investments
for
which
market
quotations are
not
readily
available
or
deemed
unreliable
are
valued
at
fair
value
as
determined
in
good
faith
by
the
Valuation
Designee.
The
Valuation
Designee
has
adopted
methodologies
for
determining
the
fair
value
of
investments
for
which
market
quotations
are
not
readily
available
or
deemed
unreliable,
including
the
use
of
other
pricing
sources.
Factors
used
in
determining
fair
value
vary
by
type
of
investment
and
may
include
market
or
investment
specific
considerations.
The
Valuation
Designee typically
will
afford
greatest
weight
to
actual
prices
in
arm’s
length
transactions,
to
the
extent
they
represent
orderly
transactions
between
market
participants,
transaction
information
can
be
reliably
obtained,
and
prices
are
deemed
representative
of
fair
value.
However,
the
Valuation
Designee may
also
consider
other
T.
ROWE
PRICE
International
Bond
Fund
valuation
methods
such
as
market-based
valuation
multiples;
a
discount
or
premium
from
market
value
of
a
similar,
freely
traded
security
of
the
same
issuer;
discounted
cash
flows;
yield
to
maturity;
or
some
combination.
Fair
value
determinations
are
reviewed
on
a
regular
basis.
Because
any
fair
value
determination
involves
a
significant
amount
of
judgment,
there
is
a
degree
of
subjectivity
inherent
in
such
pricing
decisions. Fair
value
prices
determined
by
the
Valuation
Designee could
differ
from
those
of
other
market
participants,
and
it
is
possible
that
the
fair
value
determined
for
a
security
may
be
materially
different
from
the
value
that
could
be
realized
upon
the
sale
of
that
security.
Valuation
Inputs
The
following
table
summarizes
the
fund’s
financial
instruments,
based
on
the
inputs
used
to
determine
their
fair
values
on
June
30,
2023
(for
further
detail
by
category,
please
refer
to
the
accompanying
Portfolio
of
Investments):
($000s)
Level
1
Level
2
Level
3
Total
Value
Assets
Fixed
Income
Securities
1
$
—
$
941,264
$
—
$
941,264
Short-Term
Investments
35,979
11,129
—
47,108
Securities
Lending
Collateral
63,157
—
—
63,157
Total
Securities
99,136
952,393
—
1,051,529
Swaps*
—
1,518
—
1,518
Forward
Currency
Exchange
Contracts
—
5,370
—
5,370
Futures
Contracts*
561
—
—
561
Total
$
99,697
$
959,281
$
—
$
1,058,978
Liabilities
Swaps*
$
—
$
8,244
$
—
$
8,244
Forward
Currency
Exchange
Contracts
—
12,568
—
12,568
Futures
Contracts*
368
—
—
368
Total
$
368
$
20,812
$
—
$
21,180
1
Includes
Asset-Backed
Securities,
Corporate
Bonds,
Government
Bonds
and
Municipal
Securities.
*
The
fair
value
presented
includes
cumulative
gain
(loss)
on
open
futures
contracts
and
centrally
cleared
swaps;
however,
the
net
value
reflected
on
the
accompanying
Portfolio
of
Investments
is
only
the
unsettled
variation
margin
receivable
(payable)
at
that
date.
T.
ROWE
PRICE
International
Bond
Fund
NOTE
3
-
DERIVATIVE
INSTRUMENTS
During
the
six
months ended
June
30,
2023,
the
fund
invested
in
derivative
instruments.
As
defined
by
GAAP,
a
derivative
is
a
financial
instrument
whose
value
is
derived
from
an
underlying
security
price,
foreign
exchange
rate,
interest
rate,
index
of
prices
or
rates,
or
other
variable;
it
requires
little
or
no
initial
investment
and
permits
or
requires
net
settlement.
The
fund
invests
in
derivatives
only
if
the
expected
risks
and
rewards
are
consistent
with
its
investment
objectives,
policies,
and
overall
risk
profile,
as
described
in
its
prospectus
and
Statement
of
Additional
Information.
The
fund
may
use
derivatives
for
a
variety
of
purposes
and
may
use
them
to
establish
both
long
and
short
positions
within
the
fund’s
portfolio.
Potential
uses
include
to
hedge
against
declines
in
principal
value,
increase
yield,
invest
in
an
asset
with
greater
efficiency
and
at
a
lower
cost
than
is
possible
through
direct
investment,
to
enhance
return,
or
to
adjust
portfolio
duration
and
credit
exposure.
The
risks
associated
with
the
use
of
derivatives
are
different
from,
and
potentially
much
greater
than,
the
risks
associated
with
investing
directly
in
the
instruments
on
which
the
derivatives
are
based.
The
fund
values
its
derivatives
at
fair
value
and
recognizes
changes
in
fair
value
currently
in
its
results
of
operations.
Accordingly,
the
fund
does
not
follow
hedge
accounting,
even
for
derivatives
employed
as
economic
hedges.
Generally,
the
fund
accounts
for
its
derivatives
on
a
gross
basis.
It
does
not
offset
the
fair
value
of
derivative
liabilities
against
the
fair
value
of
derivative
assets
on
its
financial
statements,
nor
does
it
offset
the
fair
value
of
derivative
instruments
against
the
right
to
reclaim
or
obligation
to
return
collateral.
The
following
table
summarizes
the
fair
value
of
the
fund’s
derivative
instruments
held
as
of
June
30,
2023,
and
the
related
location
on
the
accompanying
Statement
of
Assets
and
Liabilities,
presented
by
primary
underlying
risk
exposure:
T.
ROWE
PRICE
International
Bond
Fund
($000s)
Location
on
Statement
of
Assets
and
Liabilities
Fair
Value*
Assets
Interest
rate
derivatives
Bilateral
Swaps
and
Premiums
,
Centrally
Cleared
Swaps
,
Futures
$
1,704
Foreign
exchange
derivatives
Forwards
5,370
Credit
derivatives
Bilateral
Swaps
and
Premiums
,
Centrally
Cleared
Swaps
375
*
Total
$
7,449
*
Liabilities
Interest
rate
derivatives
Centrally
Cleared
Swaps,
Futures
$
8,600
Foreign
exchange
derivatives
Forwards
12,568
Credit
derivatives
Centrally
Cleared
Swaps
12
Total
$
21,180
*
The
fair
value
presented
includes
cumulative
gain
(loss)
on
open
futures
contracts
and
centrally
cleared
swaps;
however,
the
value
reflected
on
the
accompanying
Statement
of
Assets
and
Liabilities
is
only
the
unsettled
variation
margin
receivable
(payable)
at
that
date.
T.
ROWE
PRICE
International
Bond
Fund
Additionally,
the
amount
of
gains
and
losses
on
derivative
instruments
recognized
in
fund
earnings
during
the
six
months ended
June
30,
2023,
and
the
related
location
on
the
accompanying
Statement
of
Operations
is
summarized
in
the
following
table
by
primary
underlying
risk
exposure:
($000s)
Location
of
Gain
(Loss)
on
Statement
of
Operations
Securities^
Options
Written
Futures
Forward
Currency
Exchange
Contracts
Swaps
Total
Realized
Gain
(Loss)
Inflation
derivatives
$
—
$
—
$
—
$
—
$
185
$
185
Interest
rate
derivatives
—
—
1,230
—
(4,334)
(3,104)
Foreign
exchange
derivatives
(1,470)
38
—
3,058
—
1,626
Credit
derivatives
—
—
—
—
(2,131)
(2,131)
Total
$
(1,470)
$
38
$
1,230
$
3,058
$
(6,280)
$
(3,424)
Change
in
Unrealized
Gain
(Loss)
Inflation
derivatives
$
—
$
—
$
—
$
—
$
212
$
212
Interest
rate
derivatives
—
—
3,119
—
2,937
6,056
Foreign
exchange
derivatives
599
—
—
(14,193)
—
(13,594)
Credit
derivatives
—
—
—
—
2,073
2,073
Total
$
599
$
—
$
3,119
$
(14,193)
$
5,222
$
(5,253)
^
Options
purchased
are
reported
as
securities.
T.
ROWE
PRICE
International
Bond
Fund
Counterparty
Risk
and
Collateral
The
fund
invests
in
derivatives
in
various
markets,
which
expose
it
to
differing
levels
of
counterparty
risk.
Counterparty
risk
on
exchange-
traded
and
centrally
cleared
derivative
contracts,
such
as
futures,
exchange-traded
options,
and
centrally
cleared
swaps,
is
minimal
because
the
clearinghouse
provides
protection
against
counterparty
defaults.
For
futures
and
centrally
cleared
swaps,
the
fund
is
required
to
deposit
collateral
in
an
amount
specified
by
the
clearinghouse
and
the
clearing
firm
(margin
requirement),
and
the
margin
requirement
must
be
maintained
over
the
life
of
the
contract.
Each
clearinghouse
and
clearing
firm,
in
its
sole
discretion,
may
adjust
the
margin
requirements
applicable
to
the
fund.
Derivatives,
such
as
non-cleared bilateral
swaps,
forward
currency
exchange
contracts,
and
OTC
options,
that
are
transacted
and
settle
directly
with
a
counterparty
(bilateral
derivatives)
may
expose
the
fund
to
greater
counterparty
risk.
To
mitigate
this
risk,
the
fund
has
entered
into
master
netting
arrangements
(MNAs)
with
certain
counterparties
that
permit
net
settlement
under
specified
conditions
and,
for
certain
counterparties,
also
require
the
exchange
of
collateral
to
cover
mark-to-market
exposure.
MNAs
may
be
in
the
form
of
International
Swaps
and
Derivatives
Association
master
agreements
(ISDAs)
or
foreign
exchange
letter
agreements
(FX
letters).
MNAs
provide
the
ability
to
offset
amounts
the
fund
owes
a
counterparty
against
amounts
the
counterparty
owes
the
fund
(net
settlement).
Both
ISDAs
and
FX
letters
generally
allow
termination
of
transactions
and
net
settlement
upon
the
occurrence
of
contractually
specified
events,
such
as
failure
to
pay
or
bankruptcy.
In
addition,
ISDAs
specify
other
events,
the
occurrence
of
which
would
allow
one
of
the
parties
to
terminate.
For
example,
a
downgrade
in
credit
rating
of
a
counterparty
below
a
specified
rating
would
allow
the
fund
to
terminate,
while
a
decline
in
the
fund’s
net
assets
of
more
than
a
specified
percentage
would
allow
the
counterparty
to
terminate.
Upon
termination,
all
transactions
with
that
counterparty
would
be
liquidated
and
a
net
termination
amount
settled.
ISDAs
typically
include
collateral
agreements
whereas
FX
letters
do
not.
Collateral
requirements
are
determined
daily
based
on
the
net
aggregate
unrealized
gain
or
loss
on
all
bilateral
derivatives
with
a
counterparty,
subject
to
minimum
transfer
amounts
that
typically
range
from
$100,000
to
$250,000.
Any
additional
collateral
required
due
to
changes
in
security
values
is
typically
transferred
the
next
business
day.
Collateral
may
be
in
the
form
of
cash
or
debt
securities
issued
by
the
U.S.
government
or
related
agencies,
although
other
securities
may
be
used
depending
on
the
terms
outlined
in
the
applicable
MNA.
Cash
posted
by
the
fund
is
reflected
as
cash
deposits
in
the
accompanying
financial
statements
and
generally
is
restricted
from
withdrawal
by
the
fund;
securities
posted
by
the
fund
are
so
noted
in
the
accompanying
Portfolio
of
Investments;
both
remain
in
the
fund’s
assets.
Collateral
pledged
by
counterparties
T.
ROWE
PRICE
International
Bond
Fund
is
not
included
in
the
fund’s
assets
because
the
fund
does
not
obtain
effective
control
over
those
assets.
For
bilateral
derivatives,
collateral
posted
by
the
fund
is
held
in
a
segregated
account
at
the
fund’s
custodian.
While
typically
not
sold
in
the
same
manner
as
equity
or
fixed
income
securities,
exchange-traded
or
centrally
cleared
derivatives
may
be
closed
out
only
on
the
exchange
or
clearinghouse
where
the
contracts
were
cleared,
and
OTC
and
bilateral
derivatives
may
be
unwound
with
counterparties
or
transactions
assigned
to
other
counterparties
to
allow
the
fund
to
exit
the
transaction.
This
ability
is
subject
to
the
liquidity
of
underlying
positions. As
of
June
30,
2023,
cash
of $9,105,000 had
been
posted
by
the
fund
for
exchange-traded
and/or
centrally
cleared
derivatives.
The
following
table
summarizes
the
fund’s
OTC
and
bilateral
derivatives
at
the
reporting
date
by
loss
exposure
to
each
counterparty
after
consideration
of
collateral,
if
any.
($000s)
Gross
Value
on
Statements
of
Assets
and
Liabilities
Net
amount
due
(to)/from
Counterparty
or
Exchange
Collateral
Pledged
(Received)
by
Fund
Loss
Exposure,
After
Collateral*
(not
less
than
$0)
Counterparty
Assets
Liabilities
Bank
of
America
$
842
$
(637)
$
205
$
(309)
$
—
Barclays
Bank
189
(174)
15
(30)
—
BNP
Paribas
391
(692)
(301)
312
11
Canadian
Imperial
Bank
of
Commerce
141
—
141
—
141
Citibank
548
(548)
—
152
152
Deutsche
Bank
117
(410)
(293)
322
29
Goldman
Sachs
489
(263)
226
(300)
—
HSBC
Bank
130
(2,087)
(1,957)
1,938
—
JPMorgan
Chase
145
(1,162)
(1,017)
996
—
Morgan
Stanley
17
(668)
(651)
571
—
RBC
Dominion
Securities
58
(243)
(185)
—
—
Standard
Chartered
—
(185)
(185)
—
—
State
Street
1,650
(5,154)
(3,504)
3,464
—
UBS
Investment
Bank
833
(343)
490
(579)
—
Wells
Fargo
2
(2)
—
—
—
Total
$
5,552
$
(12,568)
*
In
situations
such
as
counterparty
default
or
bankruptcy,
the
fund
may
have
further
rights
of
offset
against
amounts
due
to
or
from
the
counterparty
under
other
agreements.
T.
ROWE
PRICE
International
Bond
Fund
Forward
Currency
Exchange
Contracts
The
fund
is
subject
to
foreign
currency
exchange
rate
risk
in
the
normal
course
of
pursuing
its
investment
objectives.
It may use
forward
currency
exchange
contracts
(forwards)
primarily
to
protect
its
non-U.S.
dollar-
denominated
securities
from
adverse
currency
movements
or
to
increase
exposure
to
a
particular
foreign
currency,
to
shift
the
fund’s
foreign
currency
exposure
from
one
country
to
another,
or
to
enhance
the
fund’s
return.
A
forward
involves
an
obligation
to
purchase
or
sell
a
fixed
amount
of
a
specific
currency
on
a
future
date
at
a
price
set
at
the
time
of
the
contract.
Although
certain
forwards
may
be
settled
by
exchanging
only
the
net
gain
or
loss
on
the
contract,
most
forwards
are
settled
with
the
exchange
of
the
underlying
currencies
in
accordance
with
the
specified
terms.
Forwards
are
valued
at
the
unrealized
gain
or
loss
on
the
contract,
which
reflects
the
net
amount
the
fund
either
is
entitled
to
receive
or
obligated
to
deliver,
as
measured
by
the
difference
between
the
forward
exchange
rates
at
the
date
of
entry
into
the
contract
and
the
forward
rates
at
the
reporting
date.
Appreciated
forwards
are
reflected
as
assets
and
depreciated
forwards
are
reflected
as
liabilities
on
the
accompanying
Statement
of
Assets
and
Liabilities.
Risks
related
to
the
use
of
forwards
include
the
possible
failure
of
counterparties
to
meet
the
terms
of
the
agreements;
that
anticipated
currency
movements
will
not
occur,
thereby
reducing
the
fund’s
total
return;
and
the
potential
for
losses
in
excess
of
the
fund’s
initial
investment.
During
the
six
months ended
June
30,
2023,
the
volume
of
the
fund’s
activity
in
forwards,
based
on
underlying
notional
amounts,
was
generally
between
45%
and
49%
of
net
assets.
Futures
Contracts
The
fund
is
subject
to interest
rate
risk in
the
normal
course
of
pursuing
its
investment
objectives
and
uses
futures
contracts
to
help
manage
such
risk.
The
fund
may
enter
into
futures
contracts
to
manage
exposure
to
interest
rate
and
yield
curve
movements,
security
prices,
foreign
currencies,
credit
quality,
and
mortgage
prepayments;
as
an
efficient
means
of
adjusting
exposure
to
all
or
part
of
a
target
market;
to
enhance
income;
as
a
cash
management
tool;
or
to
adjust
portfolio
duration
and
credit
exposure. A
futures
contract
provides
for
the
future
sale
by
one
party
and
purchase
by
another
of
a
specified
amount
of
a
specific
underlying
financial
instrument
at
an
agreed-upon
price,
date,
time,
and
place.
The
fund
currently
invests
only
in
exchange-traded
futures,
which
generally
are
standardized
as
to
maturity
date,
underlying
financial
instrument,
and
other
contract
terms.
Payments
are
made
or
received
by
the
fund
each
day
to
settle
daily
fluctuations
in
the
value
of
the
contract
(variation
margin),
which
reflect
changes
in
the
value
of
the
underlying
financial
instrument.
Variation
margin
is
recorded
as
unrealized
gain
or
loss
until
the
contract
is
closed.
The
value
of
a
futures
contract
included
in
net
assets
is
the
amount
of
unsettled
variation
margin;
net
variation
margin
receivable
is
reflected
as
an
asset
and
net
variation
margin
payable
is
reflected
as
a
liability
on
the
accompanying
Statement
of
Assets
and
Liabilities.
Risks
related
to
the
use
of
futures
contracts
include
possible
T.
ROWE
PRICE
International
Bond
Fund
illiquidity
of
the
futures
markets,
contract
prices
that
can
be
highly
volatile
and
imperfectly
correlated
to
movements
in
hedged
security
values
and/or
interest
rates,
and
potential
losses
in
excess
of
the
fund’s
initial
investment.
During
the
six
months ended
June
30,
2023,
the
volume
of
the
fund’s
activity
in
futures,
based
on
underlying
notional
amounts,
was
generally
between
21%
and
24%
of
net
assets.
Options
The
fund
is
subject
to foreign
currency
exchange
rate
risk in
the
normal
course
of
pursuing
its
investment
objectives
and
uses
options
to
help
manage
such
risk.
The
fund
may
use
options
to
manage
exposure
to
security
prices,
interest
rates,
foreign
currencies,
and
credit
quality;
as
an
efficient
means
of
adjusting
exposure
to
all
or
a
part
of
a
target
market;
to
enhance
income;
as
a
cash
management
tool;
or
to
adjust
credit
exposure.
Options
are
included
in
net
assets
at
fair
value,
options
purchased
are
included
in
Investments
in
Securities,
and
options
written
are
separately
reflected
as
a
liability
on
the
accompanying
Statement
of
Assets
and
Liabilities.
Premiums
on
unexercised,
expired
options
are
recorded
as
realized
gains
or
losses;
premiums
on
exercised
options
are
recorded
as
an
adjustment
to
the
proceeds
from
the
sale
or
cost
of
the
purchase.
The
difference
between
the
premium
and
the
amount
received
or
paid
in
a
closing
transaction
is
also
treated
as
realized
gain
or
loss.
In
return
for
a
premium
paid,
currency
options
give
the
holder
the
right,
but
not
the
obligation,
to
buy
and
sell
currency
at
a
specified
exchange
rate;
although
certain
currency
options
may
be
settled
by
exchanging
only
the
net
gain
or
loss
on
the
contract.
Risks related
to
the
use
of
options
include
possible
illiquidity
of
the
options
markets;
trading
restrictions
imposed
by
an
exchange
or
counterparty;
possible
failure
of
counterparties
to
meet
the
terms
of
the
agreements;
movements
in
the
underlying
asset
values
and
currency
values;
and,
for
options
written,
the
potential
for
losses
to
exceed
any
premium
received
by
the
fund.
During
the
six
months ended
June
30,
2023,
the
volume
of
the
fund’s
activity
in
options,
based
on
underlying
notional
amounts,
was
generally
between
0%
and
20%
of
net
assets.
Swaps
The
fund
is
subject
to
interest
rate
risk,
credit
risk
and
inflation
risk in
the
normal
course
of
pursuing
its
investment
objectives
and
uses
swap
contracts
to
help
manage
such
risks.
The
fund
may
use
swaps
in
an
effort
to
manage
both
long
and
short
exposure
to
changes
in
interest
rates,
inflation
rates,
and
credit
quality;
to
adjust
overall
exposure
to
certain
markets;
to
enhance
total
return
or
protect
the
value
of
portfolio
securities;
to
serve
as
a
cash
management
tool;
or
to
adjust
portfolio
duration
and
credit
exposure.
Swap
agreements
can
be
settled
either
directly
with
the
counterparty
(bilateral
swap)
or
through
a
central
clearinghouse
(centrally
cleared
swap).
Fluctuations
in
the
fair
value
of
a
contract
are
reflected
in
unrealized
gain
or
loss
and
are
reclassified
to
realized
gain
or
loss
upon
contract
termination
or
cash
settlement.
Net
periodic
receipts
or
payments
required
by
a
contract
increase
or
decrease,
respectively,
the
value
of
the
contract
until
the
contractual
payment
date,
at
which
time
such
amounts
are
T.
ROWE
PRICE
International
Bond
Fund
reclassified
from
unrealized
to
realized
gain
or
loss.
For
bilateral
swaps,
cash
payments
are
made
or
received
by
the
fund
on
a
periodic
basis
in
accordance
with
contract
terms;
unrealized
gain
on
contracts
and
premiums
paid
are
reflected
as
assets
and
unrealized
loss
on
contracts
and
premiums
received
are
reflected
as
liabilities
on
the
accompanying
Statement
of
Assets
and
Liabilities.
For
bilateral
swaps,
premiums
paid
or
received
are
amortized
over
the
life
of
the
swap
and
are
recognized
as
realized
gain
or
loss
in
the
Statement
of
Operations.
For
centrally
cleared
swaps,
payments
are
made
or
received
by
the
fund
each
day
to
settle
the
daily
fluctuation
in
the
value
of
the
contract
(variation
margin).
Accordingly,
the
value
of
a
centrally
cleared
swap
included
in
net
assets
is
the
unsettled
variation
margin;
net
variation
margin
receivable
is
reflected
as
an
asset
and
net
variation
margin
payable
is
reflected
as
a
liability
on
the
accompanying
Statement
of
Assets
and
Liabilities.
Interest
rate
swaps
are
agreements
to
exchange
cash
flows
based
on
the
difference
between
specified
interest
rates
applied
to
a
notional
principal
amount
for
a
specified
period
of
time.
Risks
related
to
the
use
of
interest
rate
swaps
include
the
potential
for
unanticipated
movements
in
interest
or
currency
rates,
the
possible
failure
of
a
counterparty
to
perform
in
accordance
with
the
terms
of
the
swap
agreements,
potential
government
regulation
that
could
adversely
affect
the
fund’s
swap
investments,
and
potential
losses
in
excess
of
the
fund’s
initial
investment.
Credit
default
swaps
are
agreements
where
one
party
(the
protection
buyer)
agrees
to
make
periodic
payments
to
another
party
(the
protection
seller)
in
exchange
for
protection
against
specified
credit
events,
such
as
certain
defaults
and
bankruptcies
related
to
an
underlying
credit
instrument,
or
issuer
or
index
of
such
instruments.
Upon
occurrence
of
a
specified
credit
event,
the
protection
seller
is
required
to
pay
the
buyer
the
difference
between
the
notional
amount
of
the
swap
and
the
value
of
the
underlying
credit,
either
in
the
form
of
a
net
cash
settlement
or
by
paying
the
gross
notional
amount
and
accepting
delivery
of
the
relevant
underlying
credit.
For
credit
default
swaps
where
the
underlying
credit
is
an
index,
a
specified
credit
event
may
affect
all
or
individual
underlying
securities
included
in
the
index
and
will
be
settled
based
upon
the
relative
weighting
of
the
affected
underlying
security(ies)
within
the
index. Generally,
the
payment
risk
for
the
seller
of
protection
is
inversely
related
to
the
current
market
price
or
credit
rating
of
the
underlying
credit
or
the
market
value
of
the
contract
relative
to
the
notional
amount,
which
are
indicators
of
the
markets’
valuation
of
credit
quality.
As
of
June
30,
2023,
the
notional
amount
of
protection
sold
by
the
fund
totaled $52,289,000
(5.2%
of
net
assets),
which
reflects
the
maximum
potential
amount
the
fund
could
be
required
to
pay
under
such
contracts.
Risks
related
to
the
use
of
credit
default
swaps
include
the
possible
inability
of
the
fund
to
accurately
assess
the
current
and
future
creditworthiness
of
underlying
issuers,
the
possible
failure
of
a
counterparty
to
perform
T.
ROWE
PRICE
International
Bond
Fund
in
accordance
with
the
terms
of
the
swap
agreements,
potential
government
regulation
that
could
adversely
affect
the
fund’s
swap
investments,
and
potential
losses
in
excess
of
the
fund’s
initial
investment.
Zero-coupon
inflation
swaps
are
agreements
to
exchange
cash
flows,
on
the
contract’s
maturity
date,
based
on
the
difference
between
a
predetermined
fixed
rate
and
the
cumulative
change
in
the
consumer
price
index,
both
applied
to
a
notional
principal
amount
for
a
specified
period
of
time.
Risks
related
to
the
use
of
zero-coupon
inflation
swaps
include
the
potential
for
unanticipated
movements
in
inflation
rates,
the
possible
failure
of
a
counterparty
to
perform
in
accordance
with
the
terms
of
the
swap
agreements,
potential
government
regulation
that
could
adversely
affect
the
fund’s
swap
investments,
and
potential
losses
in
excess
of
the
fund’s
initial
investment.
During
the
six
months ended
June
30,
2023,
the
volume
of
the
fund’s
activity
in
swaps,
based
on
underlying
notional
amounts,
was
generally
between
20%
and
30%
of
net
assets.
NOTE
4
-
OTHER
INVESTMENT
TRANSACTIONS
Consistent
with
its
investment
objective,
the
fund
engages
in
the
following
practices
to
manage
exposure
to
certain
risks
and/or
to
enhance
performance.
The
investment
objective,
policies,
program,
and
risk
factors
of
the
fund
are
described
more
fully
in
the
fund's
prospectus
and
Statement
of
Additional
Information.
Emerging
and
Frontier
Markets
The fund
invests,
either
directly
or
through
investments
in
other
T.
Rowe
Price
funds,
in
securities
of
companies
located
in,
issued
by
governments
of,
or
denominated
in
or
linked
to
the
currencies
of
emerging
and
frontier
market
countries.
Emerging
markets,
and
to
a
greater
extent
frontier
markets, tend
to
have
economic
structures
that
are
less
diverse
and
mature,
less
developed
legal
and
regulatory
regimes,
and
political
systems
that
are
less
stable,
than
those
of
developed
countries.
These
markets
may
be
subject
to
greater
political,
economic,
and
social
uncertainty
and
differing
accounting
standards
and
regulatory
environments
that
may
potentially
impact
the
fund’s
ability
to
buy
or
sell
certain
securities
or
repatriate
proceeds
to
U.S.
dollars.
Emerging
markets
securities
exchanges
are
more
likely
to
experience
delays
with
the
clearing
and
settling
of
trades,
as
well
as
the
custody
of
holdings
by
local
banks,
agents,
and
depositories.
Such
securities
are
often
subject
to
greater
price
volatility,
less
liquidity,
and
higher
rates
of
inflation
than
U.S.
securities.
Investing
in
frontier
markets
is
typically
significantly
riskier
than
investing
in
other
countries,
including
emerging
markets.
T.
ROWE
PRICE
International
Bond
Fund
Restricted
Securities
The
fund
invests
in
securities
that
are
subject
to
legal
or
contractual
restrictions
on
resale.
Prompt
sale
of
such
securities
at
an
acceptable
price
may
be
difficult
and
may
involve
substantial
delays
and
additional
costs.
LIBOR
Transition
The fund
may
invest
in
instruments
that
are
tied
to
reference
rates,
including
LIBOR.
Over
the
course
of
the
last
several
years,
global
regulators
have
indicated
an
intent
to
phase
out
the
use
of
LIBOR
and
similar
interbank
offered
rates
(IBOR). There
remains
uncertainty
regarding
the
future
utilization
of
LIBOR
and
the
nature
of
any
replacement
rate.
Any
potential
effects
of
the
transition
away
from
LIBOR
on
the fund,
or
on
certain
instruments
in
which
the fund
invests,
cannot
yet
be
determined.
The
transition
process
may
result
in,
among
other
things,
an
increase
in
volatility
or
illiquidity
of
markets
for
instruments
that
currently
rely
on
LIBOR,
a
reduction
in
the
value
of
certain
instruments
held
by
the fund,
or
a
reduction
in
the
effectiveness
of
related
fund
transactions
such
as
hedges.
Any
such
effects
could
have
an
adverse
impact
on
the fund's
performance.
Securities
Lending
The fund
may
lend
its
securities
to
approved
borrowers
to
earn
additional
income.
Its
securities
lending
activities
are
administered
by
a
lending
agent
in
accordance
with
a
securities
lending
agreement.
Security
loans
generally
do
not
have
stated
maturity
dates,
and
the
fund
may
recall
a
security
at
any
time.
The
fund
receives
collateral
in
the
form
of
cash
or
U.S.
government
securities.
Collateral
is
maintained
over
the
life
of
the
loan
in
an
amount
not
less
than
the
value
of
loaned
securities;
any
additional
collateral
required
due
to
changes
in
security
values
is
delivered
to
the
fund
the
next
business
day.
Cash
collateral
is
invested
in
accordance
with
investment
guidelines
approved
by
fund
management.
Additionally,
the
lending
agent
indemnifies
the
fund
against
losses
resulting
from
borrower
default.
Although
risk
is
mitigated
by
the
collateral
and
indemnification,
the
fund
could
experience
a
delay
in
recovering
its
securities
and
a
possible
loss
of
income
or
value
if
the
borrower
fails
to
return
the
securities,
collateral
investments
decline
in
value,
and
the
lending
agent
fails
to
perform.
Securities
lending
revenue
consists
of
earnings
on
invested
collateral
and
borrowing
fees,
net
of
any
rebates
to
the
borrower,
compensation
to
the
lending
agent,
and
other
administrative
costs.
In
accordance
with
GAAP,
investments
made
with
cash
collateral
are
reflected
in
the
accompanying
financial
statements,
but
collateral
received
in
the
form
of
securities
is
not.
At
June
30,
2023,
the
value
of
loaned
securities
was
$59,886,000;
the
value
of
cash
collateral
and
related
investments
was
$63,157,000.
Other
Purchases
and
sales
of
portfolio
securities
other
than
short-term securities
aggregated $401,229,000 and
$220,173,000,
respectively,
for
the
six
months ended
June
30,
2023.
T.
ROWE
PRICE
International
Bond
Fund
NOTE
5
-
FEDERAL
INCOME
TAXES
Generally,
no
provision
for
federal
income
taxes
is
required
since
the
fund
intends
to
continue
to
qualify
as
a
regulated
investment
company
under
Subchapter
M
of
the
Internal
Revenue
Code
and
distribute
to
shareholders
all
of
its
taxable
income
and
gains.
Distributions
determined
in
accordance
with
federal
income
tax
regulations
may
differ
in
amount
or
character
from
net
investment
income
and
realized
gains
for
financial
reporting
purposes.
Financial
reporting
records
are
adjusted
for
permanent
book/
tax
differences
to
reflect
tax
character
but
are
not
adjusted
for
temporary
differences.
The
amount
and
character
of
tax-basis
distributions
and
composition
of
net
assets
are
finalized
at
fiscal
year-end;
accordingly,
tax-basis
balances
have
not
been
determined
as
of
the
date
of
this
report.
The
fund
intends
to
retain
realized
gains
to
the
extent
of
available
capital
loss
carryforwards.
Net
realized
capital
losses
may
be
carried
forward
indefinitely
to
offset
future
realized
capital
gains.
As
of
December
31,
2022,
the
fund
had
$55,351,000 of
available
capital
loss
carryforwards.
At
June
30,
2023,
the
cost
of
investments
(including
derivatives,
if
any)
for
federal
income
tax
purposes
was
$1,131,010,000.
Net
unrealized
loss
aggregated
$93,118,000
at
period-end,
of
which $18,206,000
related
to
appreciated
investments
and $111,324,000
related
to
depreciated
investments.
NOTE
6
-
FOREIGN
TAXES
The
fund
is
subject
to
foreign
income
taxes
imposed
by
certain
countries
in
which
it
invests.
Additionally,
capital
gains
realized
upon
disposition
of
securities
issued
in
or
by
certain
foreign
countries
are
subject
to
capital
gains
tax
imposed
by
those
countries.
All
taxes
are
computed
in
accordance
with
the
applicable
foreign
tax
law,
and,
to
the
extent
permitted,
capital
losses
are
used
to
offset
capital
gains.
Taxes
attributable
to
income
are
accrued
by
the
fund
as
a
reduction
of
income.
Current
and
deferred
tax
expense
attributable
to
capital
gains
is
reflected
as
a
component
of
realized
or
change
in
unrealized
gain/loss
on
securities
in
the
accompanying
financial
statements.
To
the
extent
that
the
fund
has
country
specific
capital
loss
carryforwards,
such
carryforwards
are
applied
against
net
unrealized
gains
when
determining
the
deferred
tax
liability.
Any
deferred
tax
liability
incurred
by
the
fund
is
included
in
either
Other
liabilities
or
Deferred
tax
liability
on
the
accompanying
Statement
of
Assets
and
Liabilities.
T.
ROWE
PRICE
International
Bond
Fund
NOTE
7
-
RELATED
PARTY
TRANSACTIONS
The
fund
is
managed
by
T.
Rowe
Price
Associates,
Inc.
(Price
Associates),
a
wholly
owned
subsidiary
of
T.
Rowe
Price
Group,
Inc.
(Price
Group). Price
Associates
has
entered
into
a
sub-advisory
agreement(s)
with
one
or
more
of
its
wholly
owned
subsidiaries,
to
provide
investment
advisory
services
to
the
fund.
The
investment
management
agreement
between
the
fund
and
Price
Associates
provides
for
an
annual
investment
management
fee,
which
is
computed
daily
and
paid
monthly. The
fee
consists
of
an
individual
fund
fee,
equal
to
0.20%
of
the
fund’s
average
daily
net
assets,
and
a
group
fee.
The
group
fee
rate
is
calculated
based
on
the
combined
net
assets
of
certain
mutual
funds
sponsored
by
Price
Associates
(the
group)
applied
to
a
graduated
fee
schedule,
with
rates
ranging
from
0.48%
for
the
first
$1
billion
of
assets
to
0.260%
for
assets
in
excess
of
$845
billion.
The
fund’s
group
fee
is
determined
by
applying
the
group
fee
rate
to
the
fund’s
average
daily
net
assets. At
June
30,
2023,
the
effective
annual
group
fee
rate
was
0.29%.
The Investor Class
is
subject
to
a
contractual
expense
limitation
through
the
expense
limitation
date
indicated
in
the
table
below.
During
the
limitation
period,
Price
Associates
is
required
to
waive
its
management
fee
or
pay
any
expenses
(excluding
interest;
expenses
related
to
borrowings,
taxes,
and
brokerage;
non-recurring,
extraordinary expenses;
and
acquired
fund
fees
and
expenses) that
would
otherwise
cause
the
class’s
ratio
of
annualized
total
expenses
to
average
net
assets
(net
expense
ratio)
to
exceed
its
expense
limitation.
The
class
is
required
to
repay
Price
Associates
for
expenses
previously
waived/paid
to
the
extent
the
class’s
net
assets
grow
or
expenses
decline
sufficiently
to
allow
repayment
without
causing
the
class’s
net
expense
ratio
(after
the
repayment
is
taken
into
account)
to
exceed
the
lesser
of:
(1)
the
expense
limitation
in
place
at
the
time
such
amounts
were
waived;
or
(2)
the
class’s
current
expense
limitation.
However,
no
repayment
will
be
made
more
than
three
years
after
the
date
of
a
payment
or
waiver.
Effective
June
1,
2023,
the Advisor Class is subject
to
a
contractual
expense
limitation
through
the
expense
limitation
date
indicated
in
the
table
below.
During
the
limitation
period,
Price
Associates is
required
to
waive
its
management
fee
or
pay
any
expenses
(excluding
interest;
expenses
related
to
borrowings,
taxes,
and
brokerage;
non-recurring,
extraordinary
expenses;
and
acquired
fund
fees
and
expenses)
that
would
otherwise
cause
the
class’s
ratio
of
annualized
total
expenses
to
average
net
assets
(net
expense
ratio)
to
exceed
its
expense
limitation.
Each
class
is
required
to
repay
Price
Associates
for
expenses
previously
waived/paid
to
the
extent
the
class’s
net
assets
grow
or
expenses
decline
sufficiently
to
allow
repayment
without
causing
the
class’s
net
expense
ratio
(after
the
repayment
is
taken
into
account)
to
exceed
the
lesser
of:
(1)
the
expense
T.
ROWE
PRICE
International
Bond
Fund
limitation
in
place
at
the
time
such
amounts
were
waived;
or
(2)
the
class’s
current
expense
limitation.
However,
no
repayment
will
be
made
more
than
three
years
after
the
date
of
a
payment
or
waiver.
The
I
Class
is
also
subject
to
an
operating
expense
limitation
(I
Class
Limit)
pursuant
to
which
Price
Associates
is
contractually
required
to
pay
all
operating
expenses
of
the
I
Class,
excluding
management
fees;
interest;
expenses
related
to
borrowings,
taxes,
and
brokerage; non-recurring,
extraordinary expenses; and
acquired
fund
fees
and
expenses, to
the
extent
such
operating
expenses,
on
an
annualized
basis,
exceed
the
I
Class
Limit. This
agreement
will
continue
through
the
expense
limitation
date
indicated
in
the
table
below,
and
may
be
renewed,
revised,
or
revoked
only
with
approval
of
the
fund’s
Board.
The
I
Class
is
required
to
repay
Price
Associates
for
expenses
previously
paid
to
the
extent
the
class’s
net
assets
grow
or
expenses
decline
sufficiently
to
allow
repayment
without
causing
the
class’s
operating
expenses
(after
the
repayment
is
taken
into
account)
to
exceed
the
lesser
of:
(1)
the
I
Class
Limit
in
place
at
the
time
such
amounts
were
paid;
or
(2)
the
current
I
Class
Limit.
However,
no
repayment
will
be
made
more
than
three
years
after
the
date
of
a
payment
or
waiver.
The
Z
Class
is
also
subject
to
a
contractual
expense
limitation
agreement
whereby
Price
Associates
has
agreed
to
waive
and/or
bear
all
of
the
Z
Class’
expenses
(excluding
interest;
expenses
related
to
borrowings,
taxes,
and
brokerage;
non-recurring,
extraordinary
expenses;
and
acquired
fund
fees
and
expenses)
in
their
entirety.
This
fee
waiver
and/or
expense
reimbursement
arrangement
is
expected
to
remain
in
place
indefinitely,
and
the
agreement
may
only
be
amended
or
terminated
with
approval
by
the
fund’s
Board.
Expenses
of
the
fund
waived/paid
by
the
manager
are
not
subject
to
later
repayment
by
the
fund.
Pursuant
to
these
agreements,
expenses
were
waived/paid
by
and/or
repaid
to
Price
Associates
during
the
six
months ended June
30,
2023
as
indicated
in
the
table
below.
Including these
amounts,
expenses
previously
waived/paid
by
Price
Associates
in
the
amount
of $1,212,000 remain
subject
to
repayment
by
the
fund
at
June
30,
2023.
Any
repayment
of
expenses
previously
waived/paid
by
Price
Associates
during
the
period
would
be
included
in
the
net
investment
income
and
expense
ratios
presented
on
the
accompanying
Financial
Highlights.
T.
ROWE
PRICE
International
Bond
Fund
In
addition,
the
fund
has
entered
into
service
agreements
with
Price
Associates
and
two
wholly
owned
subsidiaries
of
Price
Associates,
each
an
affiliate
of
the
fund
(collectively,
Price).
Price
Associates
provides
certain
accounting
and
administrative
services
to
the
fund.
T.
Rowe
Price
Services,
Inc.
provides
shareholder
and
administrative
services
in
its
capacity
as
the
fund’s
transfer
and
dividend-disbursing
agent.
T.
Rowe
Price
Retirement
Plan
Services,
Inc.
provides
subaccounting
and
recordkeeping
services
for
certain
retirement
accounts
invested
in
the
Investor
Class
and
Advisor
Class.
For
the
six
months
ended
June
30,
2023,
expenses
incurred
pursuant
to
these
service
agreements
were
$60,000
for
Price
Associates;
$322,000
for
T.
Rowe
Price
Services,
Inc.;
and
$4,000
for
T.
Rowe
Price
Retirement
Plan
Services,
Inc.
All
amounts
due
to
and
due
from
Price,
exclusive
of
investment
management
fees
payable,
are
presented
net
on
the
accompanying
Statement
of
Assets
and
Liabilities.
Additionally,
the
fund
is
one
of
several
mutual
funds
in
which
certain
college
savings
plans
managed
by
Price
Associates invests.
As
approved
by
the
fund’s
Board
of
Directors,
shareholder
servicing
costs
associated
with
each
college
savings
plan
are
borne
by
the
fund
in
proportion
to
the
average
daily
value
of
its
shares
owned
by
the
college
savings
plan.
Price
has
agreed
to waive/reimburse
shareholder
servicing
costs in
excess
of
0.05%
of
the
fund’s
average
daily
value
of
its
shares
owned
by
the
college
savings
plan.
Any
amounts
waived/paid
by
Price
under
this
voluntary
agreement
are
not
subject
to
repayment
by
the
fund.
Price
may
amend
or
terminate
this
voluntary
arrangement
at
any
time
without
prior
notice.
For
the
six
months ended
June
30,
2023,
the
fund
was
charged $4,000 for
shareholder
servicing
costs
related
to
the
college
savings
plans, of
which
$2,000
was
for
services
provided
by
Price.
All
amounts
due
to
and
due
from
Price,
exclusive
of
investment
management
fees
payable,
are
presented
net
on
the
accompanying
Statement
of
Assets
and
Liabilities. At
June
30,
2023,
approximately
4%
of
the
outstanding
shares
of
the
I
Class
were
held
by
college
savings
plans.
Investor
Class
Advisor
Class
I
Class
Z
Class
Expense
limitation/I
Class
Limit
0.67%
1.09%
0.05%
0.00%
Expense
limitation
date
04/30/25
04/30/25
04/30/25
N/A
(Waived)/repaid
during
the
period
($000s)
$(292)
$(1)
$(84)
$(779)
T.
ROWE
PRICE
International
Bond
Fund
Mutual
funds,
trusts,
and
other
accounts
managed
by
Price
Associates
or
its
affiliates
(collectively,
Price
Funds
and
accounts)
may
invest
in
the
fund.
No
Price
fund
or
account
may
invest
for
the
purpose
of
exercising
management
or
control
over
the
fund.
At
June
30,
2023,
approximately
7%
of
the
I
Class's
and
100%
of
the
Z
Class's
outstanding
shares
were
held
by
Price
Funds
and
accounts.
The fund
may
invest
its
cash
reserves
in
certain
open-end
management
investment
companies
managed
by
Price
Associates
and
considered
affiliates
of
the
fund:
the
T.
Rowe
Price
Government
Reserve
Fund
or
the
T.
Rowe
Price
Treasury
Reserve
Fund,
organized
as
money
market
funds
(together,
the
Price
Reserve
Funds).
The
Price
Reserve
Funds
are
offered
as
short-term
investment
options
to
mutual
funds,
trusts,
and
other
accounts
managed
by
Price
Associates
or
its
affiliates
and
are
not
available
for
direct
purchase
by
members
of
the
public.
Cash
collateral
from
securities
lending,
if
any,
is
invested
in
the
T.
Rowe
Price
Government
Reserve Fund. The
Price
Reserve
Funds
pay
no
investment
management
fees.
The
fund may
participate
in
securities
purchase
and
sale
transactions
with
other
funds
or
accounts
advised
by
Price
Associates
(cross
trades),
in
accordance
with
procedures
adopted
by the
fund’s
Board
and
Securities
and
Exchange
Commission
rules,
which
require,
among
other
things,
that
such
purchase
and
sale
cross
trades
be
effected
at
the
independent
current
market
price
of
the
security.
During
the
six
months
ended
June
30,
2023,
the
fund
had
no
purchases
or
sales
cross
trades
with
other
funds
or
accounts
advised
by
Price
Associates.
NOTE
8
-
OTHER
MATTERS
Unpredictable
events
such
as
environmental
or
natural
disasters,
war,
terrorism,
pandemics,
outbreaks
of
infectious
diseases,
and
similar
public
health
threats
may
significantly
affect
the
economy
and
the
markets
and
issuers
in
which
the fund
invests.
Certain
events
may
cause
instability
across
global
markets,
including
reduced
liquidity
and
disruptions
in
trading
markets,
while
some
events
may
affect
certain
geographic
regions,
countries,
sectors,
and
industries
more
significantly
than
others,
and
exacerbate
other
pre-existing
political,
social,
and
economic
risks.
Since
2020,
a
novel
strain
of
coronavirus
(COVID-19)
has
resulted
in
disruptions
to
global
business
activity
and
caused
significant
volatility
and
declines
in
global
financial
markets.
T.
ROWE
PRICE
International
Bond
Fund
In
February
2022,
Russian
forces
entered
Ukraine
and
commenced
an
armed
conflict
leading
to
economic
sanctions
being
imposed
on
Russia
and
certain
of
its
citizens,
creating
impacts
on
Russian-related
stocks
and
debt
and
greater
volatility
in
global
markets.
In
March
2023,
the
collapse
of
some
US
regional
and
global
banks
as
well
as
overall
concerns
around
the
soundness
and
stability
of
the
global
banking
sector
has
sparked
concerns
of
a
broader
financial
crisis
impacting
the
overall
global
banking
sector.
In
certain
cases,
government
agencies
have
assumed
control
or
otherwise
intervened
in
the
operations
of
certain
banks
due
to
liquidity
and
solvency
concerns.
The
extent
of
impact
of
these
events
on
the
US
and
global
markets
is
highly
uncertain.
These
are
recent
examples
of
global
events
which
may
have
a
negative
impact
on
the
values
of
certain
portfolio
holdings
or
the
fund’s
overall
performance.
Management
is
actively
monitoring
the
risks
and
financial
impacts
arising
from
these
events.
T.
ROWE
PRICE
International
Bond
Fund
INFORMATION
ON
PROXY
VOTING
POLICIES,
PROCEDURES,
AND
RECORDS
A
description
of
the
policies
and
procedures
used
by
T.
Rowe
Price
funds
to
determine
how
to
vote
proxies
relating
to
portfolio
securities
is
available
in
each
fund’s
Statement
of
Additional
Information.
You
may
request
this
document
by
calling
1-800-225-5132
or
by
accessing
the
SEC’s
website,
sec.gov.
The
description
of
our
proxy
voting
policies
and
procedures
is
also
available
on
our
corporate
website.
To
access
it,
please
visit
the
following
Web
page:
https://www.troweprice.com/corporate/us/en/utility/policies.html
Scroll
down
to
the
section
near
the
bottom
of
the
page
that
says,
“Proxy
Voting
Guidelines.”
Click
on
the
links
in
the
shaded
box.
Each
fund’s
most
recent
annual
proxy
voting
record
is
available
on
our
website
and
through
the
SEC’s
website.
To
access
it
through
T.
Rowe
Price,
visit
the
website
location
shown
above,
and
scroll
down
to
the
section
near
the
bottom
of
the
page
that
says,
“Proxy
Voting
Records.”
Click
on
the
Proxy
Voting
Records
link
in
the
shaded
box.
RESULTS
OF
PROXY
VOTING
A
Special
Meeting
of
Shareholders
was
held
on
July
24,
2023
for
shareholders
of
record
on
April
7,
2023,
to
elect
the
following
director-nominees
to
serve
on
the
Board
of
all
Price
Funds.
The
newly
elected
Directors
took
office
effective
July
24,
2023.
The
results
of
the
voting
were
as
follows:
Teresa
Bryce
Bazemore,
Bruce
W.
Duncan,
Robert
J.
Gerrard,
Jr.,
Paul
F.
McBride
and
David
Oestreicher
continue
to
serve
as
Directors
on
the
Board
of
all
Price
Funds.
HOW
TO
OBTAIN
QUARTERLY
PORTFOLIO
HOLDINGS
The
fund
files
a
complete
schedule
of
portfolio
holdings
with
the
Securities
and
Exchange
Commission
(SEC)
for
the
first
and
third
quarters
of
each
fiscal
year
as
an
exhibit
to
its
reports
on
Form
N-PORT.
The
fund’s
reports
on
Form
N-PORT
are
available
electronically
on
the
SEC’s
website
(sec.gov).
In
addition,
most
T.
Rowe
Price
funds
disclose
their
first
and
third
fiscal
quarter-end
holdings
on
troweprice.com
.
Votes
For
Votes
Withheld
Melody
Bianchetto
5,316,532,865
42,338,636
Mark
J.
Parrell
5,314,462,793
44,388,756
Kellye
L.
Walker
5,314,203,135
44,903,088
Eric
L.
Veiel
5,309,419,858
49,685,657
T.
ROWE
PRICE
International
Bond
Fund
APPROVAL
OF
INVESTMENT
MANAGEMENT
AGREEMENT
AND
SUBADVISORY
AGREEMENTS
Each
year,
the
fund’s
Board
of
Directors
(Board)
considers
the
continuation
of
the
investment
management
agreement
(Advisory
Contract)
between
the
fund
and
its
investment
adviser,
T.
Rowe
Price
Associates,
Inc.
(Adviser),
as
well
as
the
investment
subadvisory
agreements
(Subadvisory
Contracts)
that
the
Adviser
has
entered
into
with
T.
Rowe
Price
International
Ltd
and
T.
Rowe
Price
Hong
Kong
Limited
(Subadvisers)
on
behalf
of
the
fund.
In
that
regard,
at
a
meeting
held
on
March
6–7,
2023
(Meeting),
the
Board,
including
all
of
the
fund’s
independent
directors,
approved
the
continuation
of
the
fund’s
Advisory
Contract
and
Subadvisory
Contracts.
At
the
Meeting,
the
Board
considered
the
factors
and
reached
the
conclusions
described
below
relating
to
the
selection
of
the
Adviser
and
Subadvisers
and
the
approval
of
the
Advisory
Contract
and
Subadvisory
Contracts.
The
independent
directors
were
assisted
in
their
evaluation
of
the
Advisory
Contract
and
Subadvisory
Contracts
by
independent
legal
counsel
from
whom
they
received
separate
legal
advice
and
with
whom
they
met
separately.
In
providing
information
to
the
Board,
the
Adviser
was
guided
by
a
detailed
set
of
requests
for
information
submitted
by
independent
legal
counsel
on
behalf
of
the
independent
directors.
In
considering
and
approving
the
continuation
of
the
Advisory
Contract
and
Subadvisory
Contracts,
the
Board
considered
the
information
it
believed
was
relevant,
including,
but
not
limited
to,
the
information
discussed
below.
The
Board
considered
not
only
the
specific
information
presented
in
connection
with
the
Meeting
but
also
the
knowledge
gained
over
time
through
interaction
with
the
Adviser
and
Subadvisers
about
various
topics.
The
Board
meets
regularly
and,
at
each
of
its
meetings,
covers
an
extensive
agenda
of
topics
and
materials
and
considers
factors
that
are
relevant
to
its
annual
consideration
of
the
renewal
of
the
T.
Rowe
Price
funds’
advisory
contracts,
including
performance
and
the
services
and
support
provided
to
the
funds
and
their
shareholders.
Services
Provided
by
the
Adviser
and
Subadvisers
The
Board
considered
the
nature,
quality,
and
extent
of
the
services
provided
to
the
fund
by
the
Adviser
and
Subadvisers.
These
services
included,
but
were
not
limited
to,
directing
the
fund’s
investments
in
accordance
with
its
investment
program
and
the
overall
management
of
the
fund’s
portfolio,
as
well
as
a
variety
of
related
activities
such
as
financial,
investment
operations,
and
administrative
services;
compliance;
maintaining
the
fund’s
records
and
registrations;
and
shareholder
communications.
The
Board
also
reviewed
the
background
and
experience
of
the
Adviser’s
and
Subadvisers’
senior
management
teams
and
investment
personnel
involved
in
the
management
of
the
fund,
as
well
as
the
Adviser’s
compliance
record.
The
Board
concluded
that
the
information
it
considered
with
respect
to
the
nature,
quality,
and
extent
of
the
services
provided
by
the
Adviser
and
Subadvisers,
as
well
as
the
other
factors
considered
at
the
Meeting,
supported
the
Board’s
approval
of
the
continuation
of
the
Advisory
Contract
and
Subadvisory
Contracts.
T.
ROWE
PRICE
International
Bond
Fund
Investment
Performance
of
the
Fund
The
Board
took
into
account
discussions
with
the
Adviser
and
detailed
reports
that
it
regularly
receives
throughout
the
year
on
relative
and
absolute
performance
for
the
T.
Rowe
Price
funds.
In
connection
with
the
Meeting,
the
Board
reviewed
information
provided
by
the
Adviser
that
compared
the
fund’s
total
returns,
as
well
as
a
wide
variety
of
other
previously
agreed-upon
performance
measures
and
market
data,
against
relevant
benchmark
indexes
and
peer
groups
of
funds
with
similar
investment
programs
for
various
periods
through
December
31,
2022. Additionally,
the
Board
reviewed
the
fund’s
relative
performance
information
as
of
September
30,
2022,
which
ranked
the
returns
of
the
fund’s
Investor
Class
for
various
periods
against
a
universe
of
funds
with
similar
investment
programs
selected
by
Broadridge,
an
independent
provider
of
mutual
fund
data.
In
the
course
of
its
deliberations,
the
Board
considered
performance
information
provided
throughout
the
year
and
in
connection
with
the
Advisory
Contract
review
at
the
Meeting,
as
well
as
information
provided
during
investment
review
meetings
conducted
with
portfolio
managers
and
senior
investment
personnel
during
the
course
of
the
year
regarding
the
fund’s
performance.
The
Board
also
considered
relevant
factors,
such
as
overall
market
conditions
and
trends
that
could
adversely
impact
the
fund’s
performance,
length
of
the
fund’s
performance
track
record,
and
how
closely
the
fund’s
strategies
align
with
its
benchmarks
and
peer
groups.
The
Board
concluded
that
the
information
it
considered
with
respect
to
the
fund’s
performance,
as
well
as
the
other
factors
considered
at
the
Meeting,
supported
the
Board’s
approval
of
the
continuation
of
the
Advisory
Contract
and
Subadvisory
Contracts.
Costs,
Benefits,
Profits,
and
Economies
of
Scale
The
Board
reviewed
detailed
information
regarding
the
revenues
received
by
the
Adviser
under
the
Advisory
Contract
and
other
direct
and
indirect
benefits
that
the
Adviser
(and
its
affiliates)
may
have
realized
from
its
relationship
with
the
fund.
In
considering
soft-
dollar
arrangements
pursuant
to
which
research
may
be
received
from
broker-dealers
that
execute
the
fund’s
portfolio
transactions,
the
Board
noted
that
the
Adviser
bears
the
cost
of
research
services
for
all
client
accounts
that
it
advises,
including
the
T.
Rowe
Price
funds.
The
Board
received
information
on
the
estimated
costs
incurred
and
profits
realized
by
the
Adviser
from
managing
the
T.
Rowe
Price
funds.
The
Board
also
reviewed
estimates
of
the
profits
realized
from
managing
the
fund
in
particular,
and
the
Board
concluded
that
the
Adviser’s
profits
were
reasonable
in
light
of
the
services
provided
to
the
fund.
The
Board
also
considered
whether
the
fund
benefits
under
the
fee
levels
set
forth
in
the
Advisory
Contract
or
otherwise
from
any
economies
of
scale
realized
by
the
Adviser.
Under
the
Advisory
Contract,
the
fund
pays
a
fee
to
the
Adviser
for
investment
management
services
composed
of
two
components—a
group
fee
rate
based
on
the
combined
average
net
assets
of
most
of
the
T.
Rowe
Price
funds
(including
the
fund)
that
declines
at
certain
asset
levels
and
an
individual
fund
fee
rate
based
on
the
fund’s
APPROVAL
OF
INVESTMENT
MANAGEMENT
AGREEMENT
AND
SUBADVISORY
AGREEMENTS
(continued)
T.
ROWE
PRICE
International
Bond
Fund
average
daily
net
assets—and
the
fund
pays
its
own
expenses
of
operations.
Under
each
Subadvisory
Contract,
the
Adviser
may
pay
the
Subadviser
up
to
60%
of
the
advisory
fees
that
the
Adviser
receives
from
the
fund.
The
group
fee
rate
decreases
as
total
T.
Rowe
Price
fund
assets
grow,
which
reduces
the
management
fee
rate
for
any
fund
that
has
a
group
fee
component
to
its
management
fee,
and
reflects
that
certain
resources
utilized
to
operate
the
fund
are
shared
with
other
T.
Rowe
Price
funds
thus
allowing
shareholders
of
those
funds
to
share
potential
economies
of
scale.
The
fund
is
also
subject
to
contractual
expense
limitations
that
require
the
Adviser
to
waive
its
fees
and/or
bear
any
expenses
that
would
cause
the
expenses
of
a
share
class
of
the
fund
to
exceed
a
certain
percentage
based
on
the
class’s
net
assets.
The
expense
limitations
mitigate
the
potential
for
relatively
higher
expenses
until
the
fund
achieves
greater
scale
and
protect
against
an
increase
in
operating
expenses
above
a
certain
level
that
could
impact
shareholders.
The
fund
also
offers
a
Z
Class,
which
serves
as
an
underlying
investment
within
certain
T.
Rowe
Price
fund
of
funds
arrangements.
The
Adviser
waives
its
advisory
fee
on
the
Z
Class
and
waives
or
bears
the
Z
Class’s
other
operating
expenses,
with
certain
exceptions.
The
Board
considered
whether
the
advisory
fee
and
operating
expense
waivers
on
the
Z
Class
may
present
a
means
for
cross-subsidization
of
the
Z
Class
by
other
share
classes
of
the
fund.
In
that
regard,
the
Board
noted
that
the
Z
Class
operating
expenses
are
largely
covered
by
the
all-inclusive
fees
charged
by
the
investing
T.
Rowe
Price
fund
of
funds
and
that
any
Z
Class
operating
expenses
not
covered
by
the
investing
T.
Rowe
Price
fund
of
funds’
fees
are
paid
by
the
Adviser
and
not
by
shareholders
of
any
other
share
class
of
the
fund.
In
addition,
the
Board
noted
that
the
fund
potentially
shares
in
indirect
economies
of
scale
through
the
Adviser’s
ongoing
investments
in
its
business
in
support
of
the
T.
Rowe
Price
funds,
including
investments
in
trading
systems,
technology,
and
regulatory
support
enhancements,
and
the
ability
to
possibly
negotiate
lower
fee
arrangements
with
third-
party
service
providers.
The
Board
concluded
that
the
advisory
fee
structure
for
the
fund
provides
for
a
reasonable
sharing
of
benefits
from
any
economies
of
scale
with
the
fund’s
investors.
Fees
and
Expenses
The
Board
was
provided
with
information
regarding
industry
trends
in
management
fees
and
expenses.
Among
other
things,
the
Board
reviewed
data
for
peer
groups
that
were
compiled
by
Broadridge,
which
compared:
(i)
contractual
management
fees,
actual
management
fees,
nonmanagement
expenses,
and
total
expenses
of
the
Investor
Class
of
the
fund
with
a
group
of
competitor
funds
selected
by
Broadridge
(Investor
Class
Expense
Group);
(ii)
actual
management
fees
and
total
expenses
of
the
Advisor
Class
of
the
fund
with
a
group
of
competitor
funds
selected
by
Broadridge
(Advisor
Class
Expense
Group);
and
(iii)
actual
management
fees,
nonmanagement
expenses,
and
total
expenses
of
the
Investor
Class
of
the
fund
with
a
broader
set
of
funds
within
the
Lipper
investment
classification
(Expense
Universe).
The
Board
considered
the
fund’s
APPROVAL
OF
INVESTMENT
MANAGEMENT
AGREEMENT
AND
SUBADVISORY
AGREEMENTS
(continued)
T.
ROWE
PRICE
International
Bond
Fund
contractual
management
fee
rate,
actual
management
fee
rate
(which
reflects
the
management
fees
actually
received
from
the
fund
by
the
Adviser
after
any
applicable
waivers,
reductions,
or
reimbursements),
operating
expenses,
and
total
expenses
(which
reflect
the
net
total
expense
ratio
of
the
fund
after
any
waivers,
reductions,
or reimbursements)
in
comparison
with
the
information
for
the
Broadridge
peer
groups.
Broadridge
generally
constructed
the
peer
groups
by
seeking
the
most
comparable
funds
based
on
similar
investment
classifications
and
objectives,
expense
structure,
asset
size,
and
operating
components
and
attributes
and
ranked
funds
into
quintiles,
with
the
first
quintile
representing
the
funds
with
the
lowest
relative
expenses
and
the
fifth
quintile
representing
the
funds
with
the
highest
relative
expenses.
The
information
provided
to
the
Board
indicated
that
the
fund’s
contractual
management
fee
ranked
in
the
first
quintile
(Investor
Class
Expense
Group),
the
fund’s
actual
management
fee
rate
ranked
in
the
first
quintile
(Investor
Class
Expense
Group,
Expense
Universe,
and
Advisor
Class
Expense
Group),
and
the
fund’s
total
expenses
ranked
in
the
first
quintile
(Investor
Class
Expense
Group
and
Advisor
Class
Expense
Group)
and
second
quintile
(Expense
Universe).
The
Board
also
reviewed
the
fee
schedules
for
other
investment
portfolios
with
similar
mandates
that
are
advised
or
subadvised
by
the
Adviser
and
its
affiliates,
including
separately
managed
accounts
for
institutional
and
individual
investors;
subadvised
funds;
and
other
sponsored
investment
portfolios,
including
collective
investment
trusts
and
pooled
vehicles
organized
and
offered
to
investors
outside
the
United
States.
Management
provided
the
Board
with
information
about
the
Adviser’s
responsibilities
and
services
provided
to
subadvisory
and
other
institutional
account
clients,
including
information
about
how
the
requirements
and
economics
of
the
institutional
business
are
fundamentally
different
from
those
of
the
proprietary
mutual
fund
business.
The
Board
considered
information
showing
that
the
Adviser’s
mutual
fund
business
is
generally
more
complex
from
a
business
and
compliance
perspective
than
its
institutional
account
business
and
considered
various
relevant
factors,
such
as
the
broader
scope
of
operations
and
oversight,
more
extensive
shareholder
communication
infrastructure,
greater
asset
flows,
heightened
business
risks,
and
differences
in
applicable
laws
and
regulations
associated
with
the
Adviser’s
proprietary
mutual
fund
business.
In
assessing
the
reasonableness
of
the
fund’s
management
fee
rate,
the
Board
considered
the
differences
in
the
nature
of
the
services
required
for
the
Adviser
to
manage
its
mutual
fund
business
versus
managing
a
discrete
pool
of
assets
as
a
subadviser
to
another
institution’s
mutual
fund
or
for
an
institutional
account
and
that
the
Adviser
generally
performs
significant
additional
services
and
assumes
greater
risk
in
managing
the
fund
and
other
T.
Rowe
Price
funds
than
it
does
for
institutional
account
clients,
including
subadvised
funds.
On
the
basis
of
the
information
provided
and
the
factors
considered,
the
Board
concluded
that
the
fees
paid
by
the
fund
under
the
Advisory
Contract
are
reasonable.
APPROVAL
OF
INVESTMENT
MANAGEMENT
AGREEMENT
AND
SUBADVISORY
AGREEMENTS
(continued)
T.
ROWE
PRICE
International
Bond
Fund
Approval
of
the
Advisory
Contract
and
Subadvisory
Contracts
As
noted,
the
Board
approved
the
continuation
of
the
Advisory
Contract
and
Subadvisory
Contracts.
No
single
factor
was
considered
in
isolation
or
to
be
determinative
to
the
decision.
Rather,
the
Board
concluded,
in
light
of
a
weighting
and
balancing
of
all
factors
considered,
that
it
was
in
the
best
interests
of
the
fund
and
its
shareholders
for
the
Board
to
approve
the
continuation
of
the
Advisory
Contract
and
Subadvisory
Contracts
(including
the
fees
to
be
charged
for
services
thereunder).
APPROVAL
OF
INVESTMENT
MANAGEMENT
AGREEMENT
AND
SUBADVISORY
AGREEMENTS
(continued)
100
East
Pratt
Street
Baltimore,
MD
21202
T.
Rowe
Price
Investment
Services,
Inc.
Call
1-800-225-5132
to
request
a
prospectus
or
summary
prospectus;
each
includes
investment
objectives,
risks,
fees,
expenses,
and
other
information
that
you
should
read
and
consider
carefully
before
investing.
F76-051
8/23
Item 1. (b) Notice pursuant to Rule 30e-3.
Not applicable.
Item 2. Code of Ethics.
A code of ethics, as defined in Item 2 of Form N-CSR, applicable to its principal executive officer,
principal financial officer, principal accounting officer or controller, or persons performing similar functions is filed as an exhibit to the registrants annual Form N-CSR. No substantive amendments
were approved or waivers were granted to this code of ethics during the registrants most recent fiscal half-year.
Item 3. Audit Committee
Financial Expert.
Disclosure required in registrants annual Form N-CSR.
Item 4. Principal Accountant Fees and Services.
Disclosure required in registrants annual Form N-CSR.
Item 5. Audit Committee of Listed Registrants.
Not
applicable.
Item 6. Investments.
(a) Not
applicable. The complete schedule of investments is included in Item 1 of this Form N-CSR.
(b) Not applicable.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment
Companies.
Not applicable.
Item 8. Portfolio
Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of
Matters to a Vote of Security Holders.
There has been no change to the procedures by which shareholders may recommend nominees to the
registrants board of directors.
Item 11. Controls and Procedures.
(a) The registrants principal executive officer and principal financial officer have evaluated the registrants
disclosure controls and procedures within 90 days of this filing and have concluded that the registrants disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the
registrant in this Form N-CSR was recorded, processed, summarized, and reported timely.
(b) The registrants principal executive officer and principal financial officer are aware of no change in the
registrants internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial
reporting.
Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment
Companies.
Not applicable.
Item 13. Exhibits.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused
this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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T. Rowe Price International Funds, Inc. |
|
|
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By |
|
/s/ David Oestreicher |
|
|
|
|
David Oestreicher |
|
|
|
|
Principal Executive Officer |
|
|
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|
|
Date |
|
August 18, 2023 |
|
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Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940,
this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
|
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|
|
|
By |
|
/s/ David Oestreicher |
|
|
|
|
David Oestreicher |
|
|
|
|
Principal Executive Officer |
|
|
|
|
|
Date |
|
August 18, 2023 |
|
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|
|
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By |
|
/s/ Alan S. Dupski |
|
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Alan S. Dupski |
|
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|
Principal Financial Officer |
|
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Date |
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August 18, 2023 |
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